TRANSCRIPT OF PROCEEDINGS
FOR THE CANADIAN RADIO-TELEVISION AND
TELECOMMUNICATIONS COMMISSION
TRANSCRIPTION DES AUDIENCES DU
CONSEIL DE LA RADIODIFFUSION
ET DES TÉLÉCOMMUNICATIONS CANADIENNES
SUBJECT / SUJET:
Multiple broadcasting and ownership applications &
applications further to Public Notice CRTC 2000-153
"Call for applications for a broadcasting licence to carry on
a radio programming undertaking to serve Ottawa/Hull"/
Demandes de radiodiffusion et de propriétés multiples ainsi
que des demandes suite à l'avis public CRTC 2000-153
"Appel de demandes de licence de radiodiffusion visant
l'exploitation d'une entreprise de programmation de radio
pour desservir Ottawa/Hull"
HELD AT: |
TENUE À: |
Conference Centre
Portage IV
Outaouais Room
Hull, Quebec |
Centre de Conférences
Portage IV
Salle Outaouais
Hull (Québec) |
May 30, 2001 |
le 30 mai 2001 |
Volume 7
Transcripts
In order to meet the requirements of the Official Languages
Act, transcripts of proceedings before the Commission will be
bilingual as to their covers, the listing of the CRTC members
and staff attending the public hearings, and the Table of
Contents.
However, the aforementioned publication is the recorded
verbatim transcript and, as such, is taped and transcribed in
either of the official languages, depending on the language
spoken by the participant at the public hearing.
Transcription
Afin de rencontrer les exigences de la Loi sur les langues
officielles, les procès-verbaux pour le Conseil seront
bilingues en ce qui a trait à la page couverture, la liste des
membres et du personnel du CRTC participant à l'audience
publique ainsi que la table des matières.
Toutefois, la publication susmentionnée est un compte rendu
textuel des délibérations et, en tant que tel, est enregistrée
et transcrite dans l'une ou l'autre des deux langues
officielles, compte tenu de la langue utilisée par le
participant à l'audience publique.
Canadian Radio-television and
Telecommunications Commission
Conseil de la radiodiffusion et des
télécommunications canadiennes
Transcript / Transcription
Multiple broadcasting and ownership applications &
applications further to Public Notice CRTC 2000-153
"Call for applications for a broadcasting licence to carry on
a radio programming undertaking to serve Ottawa/Hull"/
Demandes de radiodiffusion et de propriétés multiples ainsi
que des demandes suite à l'avis public CRTC 2000-153
"Appel de demandes de licence de radiodiffusion visant
l'exploitation d'une entreprise de programmation de radio
pour desservir Ottawa/Hull"
BEFORE / DEVANT:
Andrée Wylie |
Chairperson / Présidente |
Joan Pennefather |
Commissioner / Conseillère |
Andrée Noël |
Commissioner / Conseillère |
Jean-Marc Demers |
Commissioner / Conseillèr |
Andrew Cardozo |
Commissioner / Conseiller |
ALSO PRESENT / AUSSI PRÉSENTS:
Lynne Poirier |
Hearing Manager and Secretary
/ Gérante de l'audience et
secrétaire |
Donald Rhéaume
Matilda Haykal-Sater |
Legal Counsel / conseillers
juridiques |
HELD AT: |
TENUE À: |
Conference Centre
Portage IV
Outaouais Room
Hull, Quebec |
Centre de Conférences
Portage IV
Salle Outaouais
Hull (Québec) |
May 30, 2001 |
le 30 mai 2001 |
TABLE OF CONTENTS / TABLE DES MATIÈRES
|
PAGE / PARA NO. |
PHASE III |
INTERVENTION BY / INTERVENTION PAR |
Rob Frayne |
1754 / 9738 |
PHASE IV |
REPLY BY / RÉPLIQUE PAR |
Douglas E. Kirk |
1759 / 9773 |
Gary Farmer |
1766 / 9811 |
Yves Belzile |
1775 / 9858 |
Radio 1540 Limited |
1828 / 10166 |
9098-7280 Québec Inc. |
1838 / 10213 |
Standard Radio Inc. |
1846 / 10249 |
Hull, Quebec / Hull (Québec)
--- Upon resuming on Wednesday, May 30, 2001 at 0900 / L'audience reprend le mercredi 30 mai 2001 à 0900
9731 THE CHAIRPERSON: Good morning, and
welcome back to our hearing.
9732 Bonjour, et nous vous souhaitons la
bienvenue à la dernière journée de notre audience.
9733 Il nous reste une intervention de la
Phase III et nous procéderons ensuite à la Phase IV.
9734 We have one more intervenor to hear
in Phase III and we will then proceed to Phase IV.
9735 Madame la Secrétaire, s'il vous
plaît.
9736 MS POIRIER: Thank you, Madam Chair.
9737 Mr. Rob Frayne.
INTERVENTION
9738 MR. FRAYNE: Good morning.
9739 THE CHAIRPERSON: Good morning,
Mr. Frayne.
9740 MR. FRAYNE: Good morning,
Madam Chair and members of the Commission.
9741 I am here to support Standard Radio's
application for a new smooth jazz radio station to
serve Ottawa/Hull. As this city approaches a million
people, the jazz scene here is reaching a critical mass
with several local groups now touring and recording
both nationally and internationally.
9742 There are growing numbers of informed
concert-going, record-buying public, hence there is a
demand and need for high-quality jazz music and
teaching.
9743 Jazz is now considered an important
part of a city's culture, as American jazz groups like
the Lincoln Centre Jazz Orchestra or the Smithsonian
Jazz Ensemble attest. Also the huge club industry and
tourism seen in New York City is a real hallmark of a
strong, vibrant, alive town.
9744 In Canada, Montreal and Toronto are
often thought of as jazz cities based on the huge music
infrastructure, numbers of players, jazz schools and
recording studios present.
9745 Ottawa will benefit greatly by
joining these cities in developing the excitement and
depth of jazz, by expressing different styles of music,
jazz that can be swinging, improving, creative, vocal,
instrumental, world beat influenced and even
avantgarde.
9746 Today, we have an opportunity to
develop a local Ottawa/Hull scene made up of musicians,
educators and audience. I sincerely believe that
Standard Radio's proposed smooth jazz station will
offer jazz musician and Ottawa jazz aficionados a real
boost.
9747 Briefly, here is my background and
experience as a jazz artist. I have been involved in
performing on saxophone with Chelsea Bridge, the
Aangstones, the reFrayne Sextet, Timewarp, Claude
Ranger, Fred Stone and many others. Besides touring
Canadian jazz festivals since 1985, I compose, arrange
and record music on over 20 CDs and teach jazz part
time at Carleton and also at the 8th Annual Chelsea
Bridge Jazz Camp.
9748 I'm lending my support to The Wave
97.9 because Standard would contribute directly to the
develop of Canadian jazz talent. As a self-employed
jazz musician, Standard Radio's commitment to investing
seven million dollars in developing Canadian jazz
talent will provide support for the whole jazz
community, and parts of this funding I find
particularly great are:
9749 1)the funding of the four stage
NAC/Smooth Jazz concert series;
9750 2)$100,000 directly to the Ottawa
Jazz Festival which really needs the money;
9751 3)A live broadcast series of jazz in
Canada which is great, bringing back the heyday of jazz
live radio. It's the moment, it's improvised live and
it's going out across the airways live; and
9752 4)$100,000 to fund two jazz CDs and
$50,000 to fund a compilation CD. This could showcase
more bands and more styles across the whole country.
9753 I believe Ottawa needs more jazz on
the radio. Currently, we only have a few jazz programs
on the college station CKCU and CHUO and some national
CBC jazz.
9754 The impact of hearing more good
quality and diverse jazz music will be positive and
provide an Ottawa equivalent to Toronto's CJRT, a jazz
station, and Buffalo's WEBR.
9755 I think the Canadian jazz content
proposed by Standard will provide an immediate venue
and outlet for the hundreds of existing Canadian jazz
CDs and encourage writing and recording of more
Canadian jazz.
9756 I would also like to speak to you
today as a jazz teacher. Standard Radio's commitment
to seek out and develop jazz talent by providing
$25,000 per year in jazz scholarships would allow young
students to develop their passion. Without the support
of Standard Radio these scholarships would not be
available.
9757 And further, if Standard were able to
contribute to a degree granting jazz studies program at
one of the universities in Ottawa, then this city could
attract young jazz musicians and the university jazz
players, who are currently leaving Ottawa, would have a
choice about where to study the art form they really
love.
9758 For these reasons, I strongly urge
the Commission to approve Standard Radio's application.
This will allow the jazz musicians in the National
Capital Region to embrace the opportunity presented and
to develop their skills and talents, showcase their
recordings and reach their audiences.
9759 Thanks for your consideration. If
you have any questions, I'm here for you.
9760 THE CHAIRPERSON: Good morning,
Mr. Frayne. I suspect this is early for a jazz
musician.
9761 MR. FRAYNE: Yes.
9762 THE CHAIRPERSON: So we won't burden
you with any questions.
9763 We thank you for your presentation.
Your position is clear and we appreciate that you did
come to see us this morning.
9764 MR. FRAYNE: Great. Thanks.
9765 THE CHAIRPERSON: We are now ready to
proceed with Phase IV of the hearing.
9766 Nous procédons maintenant à la Phase
IV de l'audience.
9767 Madam Secretary, please.
9768 MS POIRIER: Thank you, Madam Chair.
9769 Phase IV is where applicants reappear
in reverse order of appearance from Phase I to comment
on an intervention filed to their applications.
9770 Once again, ten minutes are allowed.
9771 La Phase IV, ce sont les requérantes
qui recomparaissent devant le Conseil dans l'ordre
inverse de comparution de la Phase I. Encore une fois
dix minutes maximum sont allouées pour la présentation.
9772 I would like to start with Mr.
Douglas Kirk's application.
REPLY / RÉPLIQUE
9773 THE CHAIRPERSON: Good morning,
Mr. Kirk and Mr. Wright.
9774 MR. KIRK: Good morning.
9775 MR. WRIGHT: Good morning.
9776 MR. KIRK: Thank you, Chairperson
Wylie, Commissioners Noël, Demers, Pennefather and
Cardozo, Counsel Rhéaume and Commission staff.
9777 We are here to speak to two issues
today. The first is an application for an amendment to
our closing rebuttal remarks in Phase IV.
9778 John.
9779 MR. WRIGHT: On Monday, we submitted
a request to amend our application. We simultaneously
copied all the other applicants.
9780 Our request followed our presentation
on Friday where it became very apparent the
Commission's interpretation and categorization of our
music list was very different from ours.
9781 It was only in the closing remarks by
counsel that we realized that the Commission was
classifying all songs from published smooth jazz charts
as jazz and, therefore, as Category 34.
9782 We confirmed this with counsel after
Friday's proceedings. We were totally unaware that the
smooth jazz chart was a determining criteria. In fact,
reference to smooth jazz and to a smooth jazz chart is
noticeably absent from the description of Category 34
as set out in public notice 2000-14.
9783 We say this because the description
of Category 21, pop, rock and dance, closes with:
"This includes musical
selections listed in charts such
as AC, hot AC, pop, adult, AOR,
CHR, alternative, modern, adult
alternative, active rock, dance,
R&B, urban and techno, compiled
and published by music trade
publications".
9784 The description of Category 22,
country and country oriented, closes with:
"It includes musical selections
in country charts compiled and
published by music trade
publications".
9785 The description for Category 34
contains absolutely no reference to the name smooth
jazz or to charts compiled and published by music trade
publications.
9786 Using the smooth jazz chart certainly
changes the categorization of a good portion of our
music. Songs we have played from the smooth jazz chart
and classified previously in Category 2 will now be in
Category 3.
9787 As a result, with most of our music
in Category 3, this now makes us a specialty format.
This information changed our format classification, but
it has changed nothing else in our application. It's
the same music, the same instrumentals, the same
Canadian content, or in other words, the same
application with a different format name.
9788 We would invite the Commission to
consider our application as a specialty with less than
70 per cent of the music broadcast from Category 2.
Our undertaking as a condition of licence to broadcast
a minimum of 35 per cent instrumental selections and
20 per cent Canadian content in Category 2 and Category
3 remains unchanged.
9789 Our amendment is a change to the form
and not to the substance of our application. We are
asking the Commission to exercise discretion and
flexibility to ensure our application is considered in
the appropriate category.
9790 With our new understanding that every
song on the smooth jazz chart is Category 34, a minimum
of 65 per cent of our music will be in Category 34,
jazz and blues.
9791 Both Doug and I are personally sorry
for the frustration and confusion about the definitions
of music categories and regret we were unaware that the
smooth jazz chart could be used to determine
Category 34 music.
9792 Thank you.
9793 MR. KIRK: I echo John's remarks
regarding the amendment.
9794 Finally, we would like to thank all
the people that filed positive interventions to our
application, especially the numerous smooth jazz
artists, including Sharon Musgrave, Brian Hughes,
Gordon Sheard, Rob DeBoer of the group 480 East and
others whom we have been working with at The Wave in
Hamilton since we signed on last September.
9795 In addition, we want to comment on
interventions by CIRPA and Standard regarding our
application.
9796 As we said earlier at the hearing,
working and developing with talent is the real
emotional reward of working in the radio business.
9797 We have promised a substantial
Canadian talent development commitment. In fact, it's
the largest we could make as an independent operator
using a realistic business plan and expectations for
the format in this market.
9798 We believe our application meets the
criteria the Commission has set out for new FM
licensees. We bring diversity of format, editorial
voice and ownership to the Ottawa-Hull market. We are
the only applicant with direct operating experience in
the smooth jazz format.
9799 Most importantly, this licence is
very important for our future, that is John and my
future. We are a regional broadcasting group. This
licence to serve Ottawa-Hull will give us a linkage of
licences from Hamilton to Ajax, to Kingston, to Ottawa.
This is all in a very manageable geographic area. It
will allow us to grow our management people exchange
sales ideas get increased and more interested national
sales attention, improve our human resource functions
and allocations and exchange programming and promotion
ideas and compete more effectively with the large
consolidated ownership groups now showing up on the
scene.
9800 The two smooth jazz stations wave in
Hamilton and wave Ottawa-Hull will be able to cooperate
on Canadian talent development initiatives and on our
exposure in the two markets will accelerate the
development of our budding Canadian smooth jazz
artists. In sales, both stations will greatly benefit
from developing combined feature sponsorship
opportunities for national and regional advertisers.
9801 When the ownership regulations were
changed, the intended result was to improve the
financial condition of the industry by allowing
consolidation. This has happened. At the same time,
the Commission has made it very clear that once the
industry became more consolidated and financially
robust, the new policy would pave the way for new
operators to enter the business to further enhance
choice and diversity.
9802 We believe developing a new original
operator with the critical mass to compete with the
large national radio companies serves the Commission's
objective of broadening ownership in the radio
industry.
9803 We thank you for listening to our two
majors points and we would be pleased to answer any
questions you might have.
9804 THE CHAIRPERSON: Thank you,
Mr. Kirk. Mr. Wright. I do not believe we have any
question. We will allow each applicant as we hear them
an additional five minutes to address the request for
amendment of the application made by this applicant.
9805 Alors, nous allons accorder cinq
minutes à toutes les requérantes lorsqu'elles se
présentent pour faire leur intervention si elles
veulent faire des commentaires sur la proposition de
modifications monsieur Kirk et monsieur Wright.
9806 We will rule on whether to accept the
amendment, and on what terms if we do, at the end of
the process.
9807 Alors, nous vous donnerons le
résultat de notre décision après avoir entendu tout le
monde à la fin de la Phase IV.
9808 Thank you, Mr. Wright, Mr. Kirk.
9809 Madame la secrétaire, s'il vous
plaît.
9810 MS POIRIER: We will now hear the
Gary Farmer intervention.
REPLIQUE / REPLY
9811 MR. FARMER: Good morning. I think
they are going to set up a projection for you, it just
takes a couple of minutes. I guess while we are
waiting I can simply mention that we have no objection
to Mr. Kirk's.
9812 THE CHAIRPERSON: Thank you, Mr.
Farmer.
9813 MR. FARMER: Good morning Commission
members. We are pleased to close with a few remarks in
response to the intervention by the CBC during Phase
III.
9814 We want to clarify the relationship
of our proposal to the CBC's Radio One service. We
want the Commission to appreciate the diligence of our
proposal and the responsibility AVR's has accepted to
ensure unimpaired Radio One service to listeners
southeast of Ottawa.
9815 We must be clear: AVR has designed
its parameters to minimize its effect on Radio One's
seamless coverage, and AVR has committed that every
listener near Cornwall will be able to receive an
interference-free Radio One service on one frequency or
another.
9816 AVR is proposing parameters for its
new service which require an exception to the rules,
based on the spectrum efficiency. To judge the AVR
proposal, the Commission must be clear on two matters:
the nature of the exception we propose, and the merits
of the exception in terms of radio service to
Canadians.
9817 MR. MATTHEWS: First, we would like
to summarize what AVR has proposed. AVR has proposed a
new Ottawa radio service that creates an area of
potential interference to a CBC repeater in Cornwall.
This Cornwall repeater, CBOC, carries a duplicate of
CBC's Ottawa Radio One service, CBO.
9818 MR. RHEAUME: Excuse me; is there
any way that you can use the mike from where you are,
this microphone?
9819 MR. FARMER: I'm not loud enough.
9820 MR. RHEAUME: Well, we cannot hear
you over here.
9821 MR. MATTHEWS: I will try that again.
Shown in both green and red here is the area where the
CBO and CBOC services overlap and Radio One listeners
in that area have a choice of frequencies to listen to
them. And the crescent shaped arc shown in red is
where the AVR service will create a zone of potential
interference to the Cornwall repeater, CBOC, which will
make the area of overlap smaller.
9822 Now, we can add a line on this map
and above this line, CBC is the stronger signal of the
two and below the line, CBOC, the repeater, is
stronger. And you will see that the entire arc of
potential interference to CBOC is above that line where
the CBO signal is stronger.
9823 Now, the potential interference from
AVR is to the CBOC signal, not the CBO. So, listeners
who already tune in CBO will not have the CBO service
affected. Because the CBO signal is stronger in the
entire arc of potential interference, we would expect
most Radio One listeners in that area already tune CBO
and, therefore, would not be affected. But there might
be a few Radio One listeners in that area who tune CBOC
and would have to switch frequencies for a better
signal.
9824 The CBC agrees that its Radio One
signal from Ottawa is reliable as far as Monkland, but
near any hills in that area, river valleys, there may
be pockets where the Ottawa signal is weaker and where
duplicate coverage is needed from CBC's Cornwall
repeater.
9825 We have proposed to locate AVR's
Ottawa station at Camp Fortune. Apart from the other
advantages of that site, we know that any hills that
weaken reception of CBO Ottawa in the area of potential
interference will also weaken the interference signal
from the proposed station. That's the CBC's duplicate
Radio One coverage from Cornwall should be least
impaired where it is needed most. Our choice of
location is a deliberate effort to limit the proposed
station's impact on the CBC. It will by design
neutralize the affects of local topography and reduce
the CBC's need for coverage overlap.
9826 And that is an important concept, so
I want to just give you an example to illustrate: If
you live somewhere near the arc of potential
interference where a hill obstructs the CBO signal from
Ottawa, then the interfering signal from the new
station on 95.7 will also be obstructed. Thus the CBOC
repeater signal on 95.9 from Cornwall would still be
available to you interference-free.
9827 We chose 6000 watts effective power
from Camp Fortune because the area of potential
interference to CBC Cornwall would be entirely enclosed
by a stronger interference-free signal from CBC Ottawa.
Thus the CBC would still enjoy some coverage
duplication, but not quite as much as before.
9828 We know that the Rules call for
protection of coverage regardless of coverage
duplication, and we acknowledge that there is an area
of potential interference to CBC's Cornwall repeater.
But because we have chosen a site and a limited power
to balance the new station's Ottawa coverage against
any adverse impact on CBC coverage, we think an
exception to the Rules is warranted in the interests of
spectrum efficiency. Complete protection of Cornwall's
entire coverage, including the entire area of
duplication with CBO would come at a high cost to the
congested Ottawa spectrum, and prevent AVR from taking
the approach it has to location.
9829 We have proposed an effective power
that would limit potential interference to CBC Radio
One near Cornwall to an area that receives stronger
coverage from CBC Radio One's Ottawa frequency. We
believe that most reception problems could easily be
solved by a spin of the dial on the listener's
receiver, for those CBC listeners in Maxville and Finch
who might listen to the weaker Cornwall signal at this
point.
9830 We have committed to remedy any
interference complaints to the CBOC service, which
cannot be remedied by listeners switching to the CBO
service and we have also committed to test at our own
expense, to prove to Industry Canada and the CBC that
the Camp Fortune site can be used without impairing the
CBC's seamless Radio One coverage now or in the future.
9831 The remedies we have suggest include
operating at a lower effective power if necessary. We
are willing to limit the proposed station's effective
power to less than 6000 watts if tests show that this
will be necessary to ensure the integrity of the CBC's
service. We believe that field testing is the most
spectrum-efficient and cost-effective route to making
the best use of 95.7 in Ottawa.
9832 If tests show that the proposed
station would have to be severely limited from Camp
Fortune to protect the CBC, then certainly we would
consider an alternate site. But, at first we want a
chance to test this from Camp Fortune.
9833 The area of potential interference is
less than 100 sq. km, with less than 200 km of county
roads, no major highways, and two villages - Maxville
and Finch. We estimate that we could do this testing
in less than 10 days in total and test equipment would
consist of a specialized multi-channel FM receiver that
measures the field strength.
9834 Now, we hooked back in a Global
Positioning receiver up to a notebook computer and that
records the test results. And we would propose as well
to begin testing at 1800 watts, which is the effective
power that the CBC agrees would cause no interference
to the Cornwall repeater and we would move that power
up in increments.
9835 MR. FARMER: We are asking that AVR
be licensed for 95.8 in Ottawa at 6000 watts from Camp
Fortune, or at a lower parameter as determined by
testing and Industry Canada approval. We are confident
that, with the CBC's cooperation we will be able to
demonstrate to everyone's satisfaction that we can do
what we propose without impairing the integrity of
Radio One coverage.
9836 Finally, in its comments, the CBC
made reference to an unused allotment in Renfrew that
would be affected by the proposed station. In keeping
with the Broadcast Procedures and Rules, our
engineering brief contained a proposal for moving that
unused allotment to another frequency, thus preserving
the option of a future FM station for Renfrew.
9837 AVR was asked in Phase I whether we
would accept a Condition of License to air local
advertising only once we are airing 21 hours of local
programming. Yes, we can work with this.
9838 We would like to conclude our remarks
with words offered by those who are unable to speak
before you at this public hearing.
9839 The Commission has heard the voices
of support AVR has in the Ottawa-Hull community for a
new radio service. The Community here recognizes this
as a great opportunity.
9840 The Community speaks of the
opportunity of a new healing. The Aboriginal Women's
Support Centre: "The station will provide a venue for
holistic healing, mentally, spiritually, physically and
emotionally for all nations and races."
9841 Doctor Dianne Tanner: "As an
Aboriginal psychotherapist, I deal with a very large
segment of the Aboriginal community and find that it is
very important to have role models that can easily be
heard and identified with."
9842 And the Community speaks of the
opportunity for a new understanding.
9843 Professor Armand Ruffo: "As a
professor of Aboriginal studies at Carleton University,
I am constantly surprised how little Non-Aboriginal
students know about Aboriginal people."
9844 Kimberly Smith-Spencer: "This radio
station would be an asset to our Television Radio and
Journalism programs here at Algonquin College in
assistance with co-op placements, training, employment
mentoring and cultural programming".
9845 This Community stands on the
threshold of a great new opportunity.
9846 Commissioners, you can open the door
to Aboriginal voices on the radio in Ottawa.
9847 Thank you for your attention, and our
best wishes go out to you as you deliberate on this
matter.
9848 THE CHAIRPERSON: Just one short
question, Mr. Matthews. Who, in your view, has the
regulatory responsibility to resolve this potential
problem]
9849 MR. MATTHEWS: We believe that should
depend on the recommendation of Industry Canada, based
on the test results we are able to produce for them.
9850 THE CHAIRPERSON: And CBC as well]
9851 MR. MATTHEWS: Clearly, their view is
important.
9852 THE CHAIRPERSON: Yes. You were here
when they appeared in intervention?
9853 MR. MATTHEWS: Unfortunately not, but
I have seen the transcripts.
9854 THE CHAIRPERSON: But you have seen
what they had to say. We thank you very much.
9855 Madame la secrétaire, s'il vous
plaît.
9856 Mme POIRIER: Merci, madame la
présidente. Nous allons maintenant entendre la
réplique de monsieur Yves Belzile. Bonjour, monsieur
Belzile et monsieur Lorrain, je crois?
9857 M. LORRAIN: C'est ça, oui.
RÉPLIQUE / REPLY
9858 M. BELZILE: En commençant, j'aurais
peut-être une question pour vous. On a manifesté à
notre audience de Phase I le désir de nous questionner
sur certaines choses. Je me demande, est-ce que vous
préférez commencer par ça?
9859 THE CHAIRPERSON: Je vous poserai des
questions à la fin de votre intervention.
9860 M. BELZILE: Parfait. Le processus
de comparution tire à sa fin. Notre travail en tant
que requérant tire aussi à sa fin. Il ne nous restera
plus qu'à attendre votre décision. Quant au vôtre,
c'est différent. Vos décisions ne seront sans doute
pas faciles et ne feront certainement pas l'unanimité
Bonne chance, je ne vous envie pas.
9861 Nous avons l'intention de répondre
aux objections de tous les groupes franco-ontariens en
même temps car nous considérons les opinions émises par
leurs différents intervenants comme un tantinet
redondantes.
9862 Nous répondrons aussi à la suggestion
de monsieur Farmer de nous déloger de la fréquence
95,7. Mais avant de commencer, nous aimerions, avec
votre permission, faire lecture de quelques mots de
précision sur la disponibilité de la musique Country
francophone.
9863 Ce texte est inséré comme annexe à la
toute fin de votre document. C'est la dernière page.
Un mot sur le format Country.
9864 A la Phase I, nous avons été
questionnés sur la disponibilité suffisante de matériel
country francophone. Nous sommes convaincus que le
matériel est plus que suffisant pour supporter une
programmation à 65 pour cent francophone. Si, en
effet, le matériel était suffisant entre 1989 et 1995
pour rencontrer les exigences d'une programmation à 90
pour cent francophone, force nous est d'admettre que
toute cette production n'a pas été détruite quand CFLS
a changé de format musical.
9865 D'ailleurs, nous avons déjà en main
plus de 250 CD.
9866 A propos, monsieur Lorrain s'est
rappelé avoir fait parvenir au Conseil en 1995 la liste
complète de toutes les pièces de musique country
qu'utilisait CFLS dans sa programmation.
9867 De plus, les artistes country, dont
plusieurs incidemment ont réussi à produire leur
premier disque suite à leur participation aux concours
d'amateurs de la station de Lévis, ont continué de
produire des disques depuis ce temps.
9868 Il suffit d'une visite dans les
boutiques de disques installées au Festival country de
St-Tite-des-Caps, le plus gros et le plus connu au
Québec il est vrai, pour constater le nombre
impressionnant de CD offerts au public.
9869 Au départ, nous pourrons compter sur
au moins 3 000 pièces en français et entre 1 000 et
1 200 en anglais.
9870 Si la musique Country ne tourne pas
beaucoup dans les stations de radio du Québec et si, le
plus souvent, elle est reléguée dans des portions mal
aimées de la grille horaire, ce n'est pas faute de
matériel acceptable. La réponse est ailleurs.
9871 Monsieur François Cousineau a déclaré
lors de la comparution de Radio Nord à cette audience
qu'il a lui-même recommencé à produire de la musique
instrumentale depuis que Radio classique a commencé à
faire tourner ses oeuvres, ce qu'il ne faisait plus
faute de tribune.
9872 Est-il raisonnable de penser que les
artistes country puissent réagir aux mêmes motivations?
9873 Si, il y a 70 ans, les stations
américaines s'étaient montrées aussi frileuses face à
la musique Country que les stations francophones,
croyez-vous que Gart Brooks aurait pu vendre près de
200 millions de disques?
9874 Parlerions-nous aujourd'hui de Kenny
Rogers, de Carole King, de Shania Twain?
9875 Allons-y maintenant avec les
objections des groupes franco-ontariens.
9876 Nous sommes à la fois peinés et
surpris de constater un mécontentement de cette
amplitude chez les représentants de la communauté
franco-ontarienne. On nous reproche principalement le
choix du site de notre antenne et aussi le fait que
notre demande vienne en conflit avec leur désir de
présenter un jour une demande de licence de
radiodiffusion.
9877 Parlons d'abord de l'antenne.
9878 La semaine dernière, à cette
audience, monsieur Beauséjour, notre ingénieur, a
expliqué les raisons qui ont amené la décision
d'installer notre antenne du côté ontarien. D'une
antenne située à Buckingham, il est possible d'émettre
vers l'est, mais non vers l'ouest.
9879 Des collines de Perkins ou de
Wakefield, la transmission vers Hull et Gatineau est
excellente, mais nous n'étions pas captés ni à
Buckingham ni à l'est de Buckingham. La configuration
montagneuse du côté québécois crée des zones
importantes où notre signal ne serait pas reçu.
9880 Le signal pourrait être perçu
pendant, disons, trois kilomètres, disparaître pour un
kilomètre, puis réapparaître pour deux autres et ainsi
de suite.
9881 La solution proposée est utilisée
avec d'excellents résultats par une station
communautaire située dans la municipalité Les
Escoumins, sur la rive nord du Fleuve St-Laurent.
9882 Les difficultés de transmission ont
été réglées par l'installation d'une antenne sur une
colline située derrière Trois-Pistoles, sur la rive sud
du Fleuve St-Laurent. Il s'agit pour nous d'une
décision strictement technique.
9883 Le mécontentement.
9884 En phase I, nous avons parlé de
sondage d'opinion. Lors du sondage, plusieurs
citoyens, après nous avons demandé s'il s'agissait
d'une radio communautaire, avaient paru surpris de
s'entendre dire qu'il s'agissait plutôt d'une radio
commerciale. Cette réaction nous avait intrigués.
9885 Nous avons eu l'explication lors des
rencontres avec les décideurs. L'existence d'un projet
de radio communautaire, déjà en marche à Buckingham,
nous a alors été révélée.
9886 Nous avons rencontré le promoteur et
lui avons expliqué ce que nous voulions faire. Comme
notre projet d'implication à la vie communautaire de la
région rencontrait la majorité des objectifs poursuivis
par son groupe, il a proposé à ses membres de mettre
leur projet en veilleuse, ce qui fut fait.
9887 Nous sommes à la fois peinés et
surpris de constater la colère, pour ne pas dire la
fureur des représentants de la communauté
franco-ontarienne et particulièrement du groupe de
St-Eugène. Qu'avons-nous fait de mal pour déclencher
pareil tollé?
9888 Nous nous sommes bornés à participer
à l'appel de demande publié dans l'avis public CRTC
2000-153. Cette démarche très démocratique était
ouverte à tous et nous avons décidé d'y participer dans
le respect des règles.
9889 A la grogne, nous aurions de beaucoup
préféré la discussion. Nous croyons au dialogue et
nous aurions été heureux de chercher des solutions
constructives. Notre désir de participer à la vie des
communautés desservies est sincère et peut facilement
franchir le demi kilomètre que représente la rivière
des Outaouais. Les gens de Buckingham l'ont compris.
9890 Pour réaliser des objectifs, il peut
parfois être plus facile et plus constructif de
s'entendre avec un radiodiffuseur privé que d'essayer,
à partir de rien, de lancer une station de radio
communautaire. Leur solution serait peut-être
envisageable aussi pour d'autres groupes.
9891 On veut nous déménager.
9892 Un mot maintenant sur la suggestion
de monsieur Farmer qui veut nous déménager de la
fréquence 95,7 (canal 239) à la fréquence 96,5 (canal
243). Nous ne pouvons malheureusement pas souscrire à
la suggestion de monsieur Farmer.
9893 Dans toutes les facettes de la
présentation de notre projet, nos devoirs ont été faits
avec sérieux. Le même sérieux a été appliqué à la
recherche de la fréquence.
9894 La commande donnée à notre ingénieur
était de trouver une fréquence qui permette de couvrir
Hull et Gatineau tout en permettant de couvrir
Buckingham et le plus loin possible vers l'est. Cette
commande devait permettre la réalisation des deux
volets du mandat "auditoire" que nous nous sommes
donné.
9895 Desservir Buckingham et la périphérie
immédiate est techniquement facile; la fréquence 95,7
peut convenir et la fréquence 96,5 aussi.
9896 Le second volet du mandat pose
cependant problème.
9897 Nous voulons offrir à l'auditoire
francophone de l'Outaouais la possibilité d'écouter de
la musique country dans sa langue. Pour réaliser cette
partie de notre mandat, nous devons d'abord pouvoir
rejoindre les auditeurs.
9898 Monsieur Beauséjour a dressé des
cartes de desserte préliminaires pour les deux
fréquences et nous sommes arrivés à la même conclusion
que monsieur Farmer.
9899 La fréquence 96,5 peut convenir pour
Buckingham, mais ne peut pas desservir ni Ottawa, ni
Hull, ni aussi la plus grande partie de Gatineau. Nous
serions obligés de protéger CHVR Pembrooke, 96,7 FM qui
utilise le canal 244.
9900 En fait, dans la direction
nord-ouest, notre puissance devrait être réduite à 200
watts. Cette réduction de puissance ramènerait notre
contour théorique secondaire pratiquement au même
niveau que notre contour primaire dans la direction de
Pembrooke.
9901 L'utilisation du 96,5 amputerait
notre couverture totale de toute la ville de Hull et
des trois-quarts du territoire de Gatineau dans sa
partie la plus populeuse.
9902 De plus, comme la station de
Pembrooke émet avec beaucoup plus de puissance que la
nôtre, notre signal subirait d'importantes
interférences à l'intérieur de notre zone de contour
théorique secondaire.
9903 Pouvons-nous décemment prétendre
remplir la seconde portion de notre mandat en faisant
fi de plus de 150 000 auditeurs potentiels francophone
à 90 pour cent?
9904 Nous avons expliqué dans notre plan
d'affaires que les auditeurs attirent les annonceurs.
9905 C'est pour cette raison que nous
visons deux cibles: les citoyens de Buckingham et de
la périphérie, soit environ 31 000 personnes, d'une
part, et les amateurs francophones de musique Country,
d'autre part.
9906 D'après nos estimés, nous devions
avoir environ 14 000 auditeurs provenant de Buckingham
et la périphérie et 29 000 francophones amateurs de
country, recrutés à l'intérieur du contour secondaire.
Le cumul des deux groupes devait constituer notre
auditoire hebdomadaire total d'environ 43 000
auditeurs.
9907 C'est en vertu de ces estimés,
conséquents avec l'utilisation de la fréquence 95,7 que
nous avons préparé le plan d'affaires et les états
financiers pro forma.
9908 Mais si un changement de fréquence
vient nous priver soudainement de plus de la moitié de
la population de notre contour total, et si, en plus,
la presque totalité de cette population est
francophone, notre auditoire hebdomadaire pourrait
chuter d'au moins 20 000 auditeurs.
9909 En terme de revenu et de rentabilité,
il serait pour le moins téméraire d'aller de l'avant
avec le projet sans, au minimum, revoir le plan
d'affaires au complet. Même avec la meilleure volonté
possible, force est d'admettre que 95,7 est la seule
fréquence qui nous permet de respecter notre plan
d'affaires.
9910 L'utilisation de la bande AM est
impensable côté budget. La fréquence 96,5 ne permet
pas de rejoindre une partie suffisante de l'auditoire
francophone et compromet grandement les chances de
succès du projet.
9911 C'est pourquoi nous sommes en total
désaccord avec la proposition de monsieur Farmer.
9912 Madame la présidente, mesdames et
messieurs les Commissaires, nous sommes des gens
sérieux. La station ne sera pas première dans son
marché, mais elle sera rentable. Elle sera
probablement la plus faible, en terme de cote d'écoute,
dans le marché francophone. Par contre, elle ne sera
pas la dernière en matière de marge bénéficiaire.
9913 Depuis le début du processus qui nous
réunit ici aujourd'hui, nous avons été respectueux des
règlements du CRTC et des engagements que nous avons
pris envers l'organisme. Nous avons déposé une demande
dans les délais qui nous ont été accordés.
9914 Nous avons déposé un bref technique
auprès d'Industrie Canada dans les délais. Nous avons
répondu aux demandes de précisions du personnel du CRTC
dans les délais. Notre proposition a été trouvée
techniquement acceptable par Industrie Canada dans les
délais. Nous nous sommes présentés devant vous au
moment convenu.
9915 Enfin, lors de notre comparution de
Phase I, nous nous sommes engagés à déposer le
supplément d'information requis par les commissaires
pour le lendemain. Nous avons respecté notre
engagement.
9916 Dans presque toutes les décisions du
Conseil dont nous avons pris connaissance, la notion
d'utilisation optimale d'une fréquence est un
incontournable. De par sa nature même une fréquence
est destinée à être mise en ondes.
9917 Nous nous demandons donc comment une
fréquence "tablettée" peut satisfaire la notion
d'utilisation optimale.
9918 Dans cet ordre d'idée, aujourd'hui,
je vais prendre personnellement un autre engagement
devant vous, madame la présidente.
9919 Si le CRTC nous accorde la fréquence
95,7, CHAO-FM Buckingham sera certainement en ondes
dans les délais et tout probablement six mois avant
l'expiration du délai. Les gens de la région
périphérique de Buckingham, les francophones amateurs
de musique country et les petites commerçants vous en
remercieront.
9920 Je suis prêt à répondre à vos
questions.
9921 LA PRÉSIDENTE: Merci, Monsieur
Belzile.
9922 Madame Noël, s'il vous plaît.
9923 CONSEILLÈRE NOËL: Merci, Monsieur
Belzile.
9924 Alors j'aurais deux questions qui
portent sur les documents que vous nous avez déposés la
semaine dernière.
9925 M. BELZILE: Oui.
9926 CONSEILLÈRE NOËL: Ces questions sont
les suivantes. Lors de votre présentation vous nous
avez mentionné que la distribution des employés serait
un employé polyvalent pouvant effectuer plusieurs
taches.
9927 M. BELZILE: Oui.
9928 CONSEILLÈRE NOËL: Le directeur
général, M. Lorrain, et l'équivalent de 1,25
années-personnes pour des pigistes.
9929 M. BELZILE: C'est exact.
9930 CONSEILLÈRE NOËL: En sus de ça, vous
avez une équipe de vendeurs payés à commission.
9931 M. BELZILE: C'est exact.
9932 CONSEILLÈRE NOËL: Le détail des
dépenses que vous nous avez soumis démontre que le
poste salaire indique 100 000 dollars pour la première
année et que celui-ci va augmenter environ de 3 pour
cent par année par la suite.
9933 Vous nous avez également indiqué que
vous alliez prendre un salaire à compter de la deuxième
année seulement. Pouvez-nous indiquer sous quelle
forme vous allez le faire et est-ce que ça sera sous
forme de salaire, de dividendes parce qu'on ne voit pas
d'augmentation dans la séquence.
9934 M. BELZILE: Très bien. Je n'ai pas
voulu, Madame la Commissaire, aller jouer dans la
projection salariale parce que je peux m'arranger avec
des dividendes.
9935 Comme vous l'avez vu, la deuxième
année génère déjà un bénéfice suffisamment appréciable.
Je n'ai pas des besoins énormes. C'est bien sûr que
l'aspect véhicule, et cetera, me sera fourni par la
station de sorte que, comme l'aspect -- comment je vous
dirais bien ça -- dividendes est moins lourdement taxé
que l'aspect salaire, j'irai probablement pour cette
forme-là.
9936 CONSEILLÈRE NOËL: Maintenant, la
deuxième question porte sur la façon de faire
fonctionner la station le soir et la nuit. Vous nous
avez dit qu'il s'agissait d'une station complètement
automatisée.
9937 Est-ce qu'il y aura quelqu'un sur
place entre six heures? M. Lorrain nous a dit qu'il
partirait à quatre heures et demie.
9938 M. LORRAIN: C'est ça, oui.
9939 CONSEILLÈRE NOËL: Alors peut-être
que je devrais dire entre quatre heures et demie et six
heures le lendemain matin. Est-ce que tout la
programmation va être pré-enregistrée et aucun employé
ne va être sur place?
9940 M. LORRAIN: Pré-enregistrée.
9941 M. BELZILE: C'est exact.
9942 M. LORRAIN: Et il y a des systèmes
de sécurité qui fonctionnent aussi maintenant alors dès
qu'il y a ce qu'on appelle un "blanc" à la radio, un
silence, on peut le mettre à 30 secondes ou à 20
secondes comme on veut. Le système a déjà tous les
numéros de téléphone des gens qui peuvent intervenir
rapidement. Ça veut dire qu'il va y avoir quatre ou
cinq numéros de téléphone et il y aura continuellement
quelqu'un qui fera de l'écoute. Si ce n'est pas moi,
ça sera l'autre, si ce n'est pas l'autre ça va Yves
Belzile probablement, mais il y aura toujours quelqu'un
qui va surveiller.
9943 CONSEILLÈRE NOËL: Si je comprends
bien, vous allez dormir une nuit sur deux.
9944 M. LORRAIN: Bien, connaissez-vous
des stations de radio où on écoute 24 heures par
jour -- à la direction, je vous parle -- je n'en
connais pas.
9945 CONSEILLÈRE NOËL: Non, mais
généralement il y a des techniciens sur place.
9946 M. LORRAIN: Non, il n'y a pas
techniciens sur place, c'est ce que je veux dire.
9947 M. LORRAIN: Non, il n'y a pas de
techniciens sur place.
9948 CONSEILLÈRE NOËL: Il n'y a pas de
technicien sur place.
9949 M. LORRAIN: Il y a très peu de
stations actuellement qui fonctionnent avec des
animateurs ou des techniciens la nuit. La plupart sont
déjà automatisées ou utilisent des systèmes de vidéo
qui fonctionnent pour six heures. Alors à minuit ils
appuient là-dessus et puis tout le monde s'en va.
9950 De toute façon avec le système de
sécurité qu'on a, qui est un système d'appels du
système, alors à ce moment-là ils vont téléphoner chez
moi, ils vont téléphoner chez Yves Belzile, ils vont
téléphoner chez le producteur, ils vont téléphoner chez
tous les gens concernés tant qu'il n'y aura pas de
réponse, et tu peux intervenir par téléphone. Ton
système va savoir c'est quoi le problème.
9951 CONSEILLÈRE NOËL: C'est ça que je
veux savoir. Vous n'avez pas besoin de vous habiller,
sauter dans votre voiture et vous rendre à la station.
9952 M. LORRAIN: Pas du tout, pas du
tout.
9953 CONSEILLÈRE NOËL: Vous pouvez le
faire à distance.
9954 M. LORRAIN: Et puis on va se doter
aussi de génératrices d'urgence à la station et aussi à
l'émetteur --
9955 CONSEILLÈRE NOËL: Qui entre en
fonction dès qu'il y a une interruption de courant.
9956 M. LORRAIN: Dès qu'il y a une
interruption de courant et le système lui-même
automatique est doté d'un autre système de sécurité qui
permet d'opérer -- même s'il n'y a pas d'électricité,
même si la génératrice ne partait pas, pendant au moins
une heure de temps le système va générer sa propre
puissance et on ne perdra rien.
9957 CONSEILLÈRE NOËL: Une batterie de
secours, comme on dit.
9958 M. LORRAIN: Pardon?
9959 CONSEILLÈRE NOËL: Une batterie de
secours.
9960 M. LORRAIN: Oui, oui, c'est comme ça
qu'on l'appelle.
9961 CONSEILLÈRE NOËL: Juste une question
additionnelle. Je ne vous ai pas entendus commenter
sur la demande de modification de M. Kirk. Est-ce que
vous aviez des commentaires à faire.
9962 M. BELZILE: Nous n'avons pas de
problème avec ça du tout, Madame.
9963 CONSEILLÈRE NOËL: Je vous remercie,
Madame la Présidente.
9964 LA PRÉSIDENTE: Merci, Monsieur
Belzile, Monsieur Lorrain.
9965 M. LORRAIN: Merci. Bonjour.
9966 Madame la Secrétaire, s'il vous
plaît.
9967 MS POIRIER: I would now invite
Newcap Incorporated.
9968 THE CHAIRPERSON: Proceed when you
are ready.
REPLY / RÉPLIQUE
9969 MR. ROB STEELE: Good morning, Madam
Chair, members of the Commission and staff.
9970 If I may reintroduce myself. I'm Rob
Steele and to my John Steele and to my left, Bob
Templeton.
9971 The applicants before you at this
hearing represent the variety of population groups that
make up our country. There are strong cases to be made
to satisfy the needs of each with a variety of
programming proposals, particularly when you factor in
the number of frequencies which are available.
9972 We believe you can award multiple
licences here and add quality and diversity without
upsetting the economics of the broadcast market. In
fact, we feel that additional revenues will be
generated with new formats because they reach
demographic groups that are increasing in numbers and
who are not being served by current radio formats.
9973 New stations in viable niche formats
will reach out to listeners who are less satisfied,
increasing their listening to radio and making
subgroups more efficient for advertisers to target.
9974 As we and other applicants have
pointed out, the Ottawa radio market has grown
historically at a rate of 8 per cent. Continued growth
in radio at only half this rate would general enough
new radio revenues to meet the projections of several
new stations without adversely affecting the growth
expectations of existing operators.
9975 MR. JOHN STEELE: Ottawa has a
vibrant dance club scene with approximately 100 clubs
in operation. As the DJs and club owners pointed out
to you on Monday morning, every night these clubs are
filled with as many as 20,000 patrons. This is
ethnically diverse clientele from a wide variety of age
groups, but in particular in the group 18 to 34.
9976 Peter Doering's research confirms
this anecdotal evidence. Only our research tested
interest in a large number of music formats in the
region. Of the 19 formats tested, dance and its
affiliated formats of urban and urban AC have double
the interest of the other English-language format
proposed here, NAC/Smooth Jazz. In fact, The Planet
will reach a large underserved portion of the region's
listeners, generating a 7.5 per cent share of hours
tuned.
9977 Mr. Doering's research shows our
target market is more than twice as likely to be
dissatisfied with the radio choices available to them.
9978 BBM data confirmed that the 18 to 34
age group in the National Capital Region tunes 20 per
cent fewer hours to radio per week than does the 35+
group.
9979 Our research, as well as Standard's
and Telemedia's, shows the NAC/Smooth Jazz format to
only have a 7 to 9 per cent level of very interested
respondents which will translate into a maximum share
of 4 per cent of hours tuned. This share is higher
than what is generally garnered by American smooth jazz
stations.
9980 As the intervenors from the music
community pointed out on Monday, the dance fan is
neither a rock fan nor a pop fan. They want an
eclectic mix of hip-hop, R&B, world beat, reggae and
Latin music all propelled by a strong rhythmic groove.
9981 As the intervenors point out, they
aren't finding much of this in the existing Ottawa
radio scene, except for a few community radio programs,
one of which is overnight.
9982 The dance music scene is also
artistically vibrant in the region. As Mr. Tessier
pointed out on Monday, local group Capital Sound is a
Juno award winner in this category, but their records
get little or no commercial airplay in the area.
9983 Some local artists have smash hits in
Europe, but their records are only played in clubs in
their own hometown.
9984 The Planet will provide them a
long-needed outlet for their music on the airwaves.
The 2.625 million dollars in funding to FACTOR will
allow them to strengthen their recordings while also
underwriting better promotion and marketing. A variety
of indirect support for artists will supplement our
cash contributions.
9985 MR. ROB STEELE: In making your
decision on new licences for Ottawa, we understand that
you have to be guided by the public interest and the
demands of the Broadcasting Act and we believe that out
application meets these requirements as well or better
than any other applicant that you have heard.
9986 In terms of the diversity, we will
provide a new and diverse musical choice to Ottawa, and
one that will serve a wide cross-section of the 18
to 44 age group.
9987 The Planet will introduce a new owner
to the Ottawa market and an additional newsroom of
eight people. The 34 new employees of The Planet will
reflect the demographic profile of the region from day
one. Our projected spending on programming is almost
twice that of any other applicant at this hearing.
9988 At 40 per cent, our Canadian content
is the highest proposal at this hearing, and we will
provide exposure for many Canadian dance and urban
artists who aren't currently receiving it. At least
half our Canadian content will be new music, giving a
further push to these talented Canadian artists.
9989 We are pledging $5.25 million in
support for Canadian talent, half of which will go to
FACTOR in direct support for local artists. The other
half will go to Aboriginal Voices Radio to underwrite
high-quality Aboriginal radio programming, both here in
the National Capital and across the country.
9990 An additional three-quarters of a
million dollars in indirect costs will supplement our
cash contribution.
9991 We believe that we will bring a new
energy to Ottawa's radio scene with a new and exciting
format. Not only will we fill a large musical gap in
the marketplace, we will provide a radio station that
is fun and tapping into the energy of an audience that
is passionate about this music.
9992 Our audience is largely the age group
that follows the baby boom who are not interested in
oldies, classic rock and ballad-driven adult
contemporary. They are active, they go out and they
have disposable income to spend and they want to have a
radio station that reflects their lifestyle.
9993 We hope that you agree that our
proposals are worthy of receiving a licence in this
community.
9994 Thank you for your time and your
attention. We appreciate it.
9995 THE CHAIRPERSON: Thank you,
messieurs Steele and Mr. Templeton.
9996 I gather from your silence that you
have no objection to Mr. Kirk's proposal for amendment.
9997 MR. ROB STEELE: We discussed at
length. In direct response, we do not object to Mr.
Kirk's application.
9998 THE CHAIRPERSON: Thank you.
9999 We want to make sure in case some
members of the -- some applicants were not in the room,
so I would appreciate it if you indicated clearly that
you have no objection so I wouldn't have to ask. I'm
not sure if everybody was there when we heard Mr. Kirk.
10000 Thank you very much.
10001 Are you off to Newfoundland today?
10002 MR. ROB STEELE: Tonight.
10003 THE CHAIRPERSON: Tonight?
10004 MR. ROB STEELE: To Nova Scotia.
10005 THE CHAIRPERSON: Oh, to Nova Scotia?
I hope it's not as cold as it is in my garden.
--- Laughter / Rires
10006 MR. ROB STEELE: It's worse.
10007 THE CHAIRPERSON: For those who were
here yesterday, if my garden freezes I'm going to White
Rose and purchasing plastic flowers. That should fool
the squirrels.
10008 Madame la Secrétaire.
10009 Mme POIRIER: Merci, Madame la
Présidente.
10010 Je viens d'être avisée que les
représentants de Fondation Radio Enfant sont en retard.
Donc je vais appeler la prochaine requérante.
10011 The next reply is presented by
1914258 Ontario Limited, Infinity, and I don't think
Mr. Ray is in the room either. I haven't seen him.
10012 So the next one would be Harvard
Development Incorporated.
REPLY / RÉPLIQUE
10013 THE CHAIRPERSON: Good morning,
Mr. Cowie.
10014 MR. COWIE: Madam Chairperson,
Commissioners, Commission staff. Good morning.
10015 I am Bruce Cowie, Vice-President of
Harvard Developments Incorporated and with great thanks
to Commissioner Cardozo, the newest member of the board
of Harvard Developments.
10016 I am here today to address the direct
interventions --
10017 COMMISSIONER CARDOZO: Am I on the
board?
10018 MR. COWIE: I am.
--- Laughter / Rires
10019 MR. COWIE: You asked the question,
we replied.
10020 I am here today to address the direct
interventions that were filed against our NAC/Smooth
Jazz application for Ottawa/Hull. I would like also to
clarify for the record some of the representations made
of our application by other applicants.
10021 We note that Standard Broadcasting
has raised the issue of the change of ownership of our
proposed service. As discussed with the Commission
during questions, the change represents no material
alteration in the application and as such should not
result in any substantive concerns on behalf of
competing applicants.
10022 In terms of the intervention filed by
CanWest Global in regards to the use of the 89.9
frequency, we have been informed by Industry Canada
that they will approve the use of 89.9, as long as the
affected radiated power does not exceed 50 kilowatts.
As the Commission has noted, our application is for a
service operating at 40 kilowatts.
10023 I will address the remainder of my
comments to issues surrounding our application that
have been raised by other applicants.
10024 There has been a suggestion that our
consumer demand research exaggerates the potential for
the NAC/Smooth Jazz format and subsequently, that our
estimates for share are out of line with what is
realistically achievable.
10025 I would like to assure the Commission
that we have approached this application with the same
care and thoroughness we would any business venture.
10026 In light of comments made at this
hearing, we have carefully reviewed our research. The
indications of consumer demand are sound, as is our
representation of the potential of the format. We have
not described the interest in NAC/Smooth Jazz as being
overwhelming, nor have we suggested that the size of
the audience for The Breeze will ever surpass the
audience for stations with more popular adult
contemporary or rock-based formats.
10027 What we have confidently stated
however is that we have identified an underserved
demographic. According to tuning patterns identified
by BBM data for Ottawa/Hull, there is a gap the service
for 25-34 and 45-54.
10028 We investigated two formats. We
chose NAC/Smooth Jazz because the format represented a
completely new choice and a new sound for the Ottawa
market.
10029 The format would have the least
impact on existing broadcasters. The high instrumental
content attracts audiences cross-culturally. It
represents the greatest contribution to Canada talent
development by directly funding artists who are
generally underfunded or ignored. The demographics of
the audience match both the market profile and the
interests of an identifiable and significant group of
advertisers.
10030 Our research was conducted using
industry prescribed standards and safeguards. Our
audience estimates were created by discounting the
indications of interest from our consumer study, by a
method represented to the Commission in the document
itself. This is a method that is used in programming
research North America wide.
10031 On first glance, a direct comparison
of our shares with those achieved by U.S. stations
programming NAC/Smooth Jazz would suggest that we are
overly optimistic.
10032 However, the context does not permit
this comparison. The numbers provided by Mr. Kirk are
in fact the average of all stations offering this
programming that are members of Arbitron and represent
a variety of cities and locales. Given the expansion
of the format into markets across the United States,
all of these stations are in various phases of maturity
and averaging these numbers provides a distorted view.
10033 Where the format has had the benefit
of time, Arbitron estimates report that NAC/Smooth Jazz
is in the top ten in terms of share and, in fact, in
some markets is in the top three.
10034 It is also important to note that
most markets in the U.S. have exponentially more
originating stations and offer more local choice than
any market in Canada could support. A review of
Arbitron data shows the shares achieved by stations in
the U.S.across a variety of formats are lesser than
those realized in Canada. While the U.S. can ad should
be used as a guide, it cannot be used as an absolute
benchmark.
10035 Madam Chairperson, members of the
Commission and Commission staff, Harvard believes the
time for the next steps in the introduction of
NAC/Smooth Jazz in Canada is here and now in a market
that is ready for it.
10036 We said in Vancouver that the format
would evolve over time. In the short period since that
hearing, we have worked very hard with Commission
staff, with our expert consultants and other smooth
jazz operators to ensure that this application was
right and would succeed within a specialty licence.
10037 We want to thank the Commission staff
for the valuable time and attention they provided in
helping us to understand the categorization of music
and in helping to identify additional sources of
Canadian content.
10038 We believe that if The Breeze is
licensed, Ottawa/Hull will have a new radio station
that serves the particular needs and interests of the
market.
10039 Thank you for your time and for your
attention.
10040 Madam Chair, with respect to the
request by Kirk for a change in their format
designation, Harvard will accept the Commission's
decision. With respect to that request, we don't find
that the application has been changed materially and it
should not negatively affect us in any way.
10041 I would say, however, that the
discussion that began in Vancouver and has carried on
and the search that has carried on in trying to find
the proper categorizations for music has been ongoing
and the answers were available. We found them and came
prepared. In other words, Madam Chair, we did our
homework.
10042 THE CHAIRPERSON: Oh, but you were
not on the board yet.
10043 MR. COWIE: No, I was not.
10044 THE CHAIRPERSON: Oh, I thought you
owned that to Mr. Cardozo's question.
10045 MR. COWIE: Well, Mr. Cardozo asked
the question --
10046 THE CHAIRPERSON: Oh, provided you
with a confirmation.
10047 MR. COWIE: No, there was no proviso
involved with it. Commissioner Cardozo asked the
question and Mr. Hill made the appointment on the spot.
10048 THE CHAIRPERSON: That's what I mean.
10049 MR. COWIE: So I'm very thankful to
him for that.
10050 THE CHAIRPERSON: That was an
amendment to your application.
--- Laughter / Rires
10051 THE CHAIRPERSON: That's why you
would have been the last person to be in a good
position to --
10052 MR. COWIE: That's correct.
10053 THE CHAIRPERSON: -- object. Now, do
you get what I am talking about?
10054 MR. COWIE: I do.
10055 LA PRÉSIDENTE: Est-ce qu'il y a
quelqu'un de chez Radio Enfant ici parce que vous êtes
censés comparaître, comme on l'a annoncé au début de
l'audience, dans l'ordre opposé à celui où vous avez
été entendus. Il y a déjà eu un changement dans le --
10056 Est-ce qu'il y a quelqu'un ici de
chez --
10057 Is someone here from the Infinity
group?
10058 Madame la Secrétaire.
10059 Mme POIRIER: Alors nous allons
maintenant entendre la réplique de Radio Ville-Marie
Outaouais.
RÉPLIQUE / REPLY
10060 LA PRÉSIDENTE: Bonjour, Monsieur
Trépanier et Madame Sincennes.
10061 M. TRÉPANIER: Bonjour.
10062 Mme SINCENNES: Bonjour.
10063 LA PRÉSIDENTE: Monsieur Maheu,
Monsieur Roy.
10064 M. TRÉPANIER: Comme c'est la nature
de notre radio, nous sommes fidèles.
--- Rires / Laughter
10065 LA PRÉSIDENTE: Monsieur Trépanier,
je vous ai vu ici. Vous êtes prêt à devenir le
président ou le vice-président ou un des conseillers
maintenant. Vous avez eu tout un cours.
10066 M. TRÉPANIER: Je dois vous avouer
que c'est une déformation professionnelle. J'ai été
journaliste toute ma vie et puis au temps où je
couvrais les événements, les journalistes assistaient à
tout l'événement. On ne faisait pas de journalisme de
chauffard où on venait juste faire une saucette. Alors
j'ai cette habitude et je la conserve.
10067 Alors, Madame la Présidente, mesdames
et messieurs les conseillers et les conseillères. Nous
utiliserons ce précieux temps pour réaffirmer
l'heureuse alternative, le choix unique que le projet
Radio Ville-Marie Outaouais offre à l'auditoire
francophone de l'Outaouais québécois et ontarien.
10068 Je vais simplement rappeler les
grandes caractéristiques de notre projet qui sont les
suivantes :
10069 Une radio religieuse. Radio
Ville-Marie Outaouais est donc une radio religieuse
d'inspiration chrétienne ouverte aux autres religions
ainsi qu'aux grands courants mondiaux de spiritualité.
10070 Une radio francophone. Radio
Ville-Marie Outaouais est une radio en langue française
entièrement au service, entre autres, de l'importante
minorité francophone de l'est de l'Ontario en
complément de CHRI qui dessert elle la population de
langue anglaise de la capitale nationale et de ses
régions.
10071 Une radio distinctive. Radio
Ville-Marie Outaouais présente un son tout à fait
différent de celui que nous offre ordinairement la
radio commerciale, c'est-à-dire un rythme qui relève
davantage de la sérénité, favorise le calme, privilégie
la réflexion sur les valeurs et les enjeux susceptibles
de concourir à l'émergence de courants d'humanité dans
la société.
10072 Une radio qui s'inscrit dans la
poussée de la recherche du spirituel dans la religion
et dans la vie. Radio Ville-Marie Outaouais s'inscrit
dans une rechercher générale de plus en plus poussée de
l'aspect davantage spirituel de la religion, autant
chez les gens qui professent une appartenance à une
église ou à un mouvement religieux, que chez ceux qui
n'adhèrent à aucun culte.
10073 Une radio aussi qui vient de la base.
Radio Ville-Marie Outaouais est une radio issue de la
communauté, de la demande populaire, des gens qui ont
entendu CIRA-FM de Montréal et qui ont exprimé le désir
de capter une même radio ici à Ottawa/Hull, dans
l'ouest québécois et dans l'est ontarien, résultant,
après quelques années pour un group de plus en plus
large de personnes à y rêver, d'une première réunion
d'information en janvier 2000, suivie de la mise sur
pied d'un comité d'étude de faisabilité, puis de mise
en oeuvre et, finalement, de la création d'une
coopération chargée de mener le projet à bien.
10074 Une radio financée par la communauté.
Radio Ville-Marie Outaouais compte essentiellement pour
son financement sur l'appui de ses sociétaires, des
diverses églises, des nombreuses communautés
religieuses, d'entreprises et d'individus qui éprouvent
pour elle une certain empathie et, bien sûr, de celui
de ses auditeurs.
10075 Une radio sur un modèle de réussite.
Radio Ville-Marie Outaouais se modèle sur la station
radiophonique montréalaises CIRA-FM dont le succès a
été éprouvé depuis six ans qu'elle existe et reconnu
par le CRTC lui-même, une radio qui jouira de la plus
grande partie de la programmation de CIRA-FM Montréal
au cours de ses premières années, pour diffuser le plus
rapidement sa propre programmation locale et régionale
grâce à l'apport d'artisans, de collaborateurs et
d'intervenants du milieu-même.
10076 En conclusion, Madame la Présidente,
mesdames et messieurs les conseillères et conseillers,
nous espérons avoir fait la démonstration du besoin
d'une radio différente, une radio religieuse
oecuménique de langue française qui vient quelque peu
équilibrer le service radiophonique offert présentement
aux éditeurs francophones de cette région de
l'Outaouais.
10077 Nous vous remercions de votre accueil
et de l'accueil empressé également de votre personnel
et de cette attention que vous avez portée à notre
requête.
10078 Je voudrais ajouter aussi que nous
n'avons, bien sûr, pas d'objection au changement quant
au format de la radio de M. Kirk.
10079 LA PRÉSIDENTE: Nous vous remercions,
Monsieur Trépanier.
10080 Je peux vous dire que vous avez
pleine reconnaissance pour votre loyauté au procès.
10081 Merci.
10082 M. TRÉPANIER: Merci.
10083 LA PRÉSIDENTE: Nous allons
maintenant prendre une pause de 15 minutes, et nous
reprendrons après.
--- Upon recessing at 1020 / Suspension à 1020
--- Upon resuming at 1050 / Reprise à 1050
10084 LA PRÉSIDENTE: Madame la Secrétaire,
s'il vous plaît.
10085 Mme POIRIER: Merci, Madame la
Présidente.
10086 Nous allons maintenant entendre la
réplique de Fondation Radio Enfant.
10087 A vous, Monsieur Delorme.
RÉPLIQUE / REPLY
10088 M. DELORME: Merci, Madame. Merci,
Madame la Présidente.
10089 On s'excuse du retard. Il y a eu une
petite confusion. On est en train d'installer une
radio à Laurier Carrière. Ils vont faire une pratique
demain de Radio Enfant.
10090 Donc nous voilà rendus au terme de
l'exercice d'examen public de notre requête. Nous
sommes satisfaits de l'expérience et croyons avoir
démontré la pertinence et la valeur du projet de Radio
Enfant/Ado.
10091 En guise de conclusion, nous
aimerions rappeler l'enjeu de cette audience et
présenter au Conseil quelques propositions.
10092 Nous avons l'impression d'avoir bien
communiqué notre enthousiasme pour le projet d'une
radio communautaire francophone pour la région de l'est
ontarien et l'Outaouais québécois dédiée aux enfants et
aux adolescents.
10093 Nous sommes cependant bien conscients
que de larges secteurs dans notre proposition font
encore l'objet d'inquiétudes pour le Conseil. Les
commissaires ont exprimé à plusieurs reprises un doute
sur le bien-fondé d'un service dédié aux enfants/ados.
10094 Pour nous le témoignage des jeunes et
de ceux qui sont chargés de leur éducation ont été très
éloquents. Nous croyons être rendus à l'étape où une
société comme celle du Canada se doit de laisser la
parole à nos jeunes et le moyen de s'exprimer et
profiter d'un service qui vise à bien les servir.
10095 Si vous avez encore des doutes sur la
nécessité d'accorder cette licence dans le contexte
actuel de la radio dans la région, il nous sera
difficile de ne jamais vous convaincre.
10096 Vos principales préoccupations
portent surtout sur le financement. Ce n'est pourtant
pas un précédent au Canada cette situation où une radio
communautaire ne peut fournir toutes les preuves de
financement exigées. La majorité des radios
communautaires francophones du Canada ont sollicité
leur licence sans avoir plus de garanties financières.
10097 L'attribution de la licence du Réseau
des radios francophones s'est faite dans des conditions
similaires. Les engagements financiers ont été
confirmés une fois la licence accordée.
10098 Le Conseil pourrait revoir sa
procédure qui oblige les représentants gouvernementaux
d'avoir des réserves face à une procédure d'analyse où
l'appui a un projet signifie obligatoirement une
opposition aux autres demandes.
10099 Pour nous, les appuis sont
suffisamment signifiants pour nous permettre d'accepter
comme condition de licence que la station soit en ondes
dans les 12 mois suivants une décision favorable.
10100 C'est vous dire comment nous sommes
confiants que les partenaires qui nous ont exprimé leur
soutien seront au rendez-vous pour la mise en ondes de
la première radio enfant/ado au Canada.
10101 Pour être plus précis, voici comment
nous envisageons les prochaines étapes. L'octroi d'une
licence de radio FM pour desservir la population
francophone de l'est ontarien et l'Outaouais va de soi.
Elle constitue l'élément premier de l'opération.
10102 Nous accepterions que la licence nous
soit accordée pour une période plus courte afin de
procéder à une évaluation de l'expérience. Nous
demandons au Conseil d'accepter que le groupe Astral
Média puisse accorder une contribution à la Radio
Enfant comme un avantage tangible à la programmation
canadienne dans le cadre de son acquisition de 27
stations de radio, donc une transaction de 255
millions.
10103 Une contribution de 1 pour cent de la
valeur de cette transaction permettra de réaliser la
phase initiale d'implantation du nouveau service sans
axer sa programmation vers une forte commercialisation.
10104 Pendant cette période de cinq ans, la
Radio Enfant/Ado de la capitale nationale sera de
nature non commerciale en mettant l'accent sur la
diversification des sources de revenus de la station,
entre autres, par un financement populaire et celui de
partenariats à des productions radiophoniques de nature
éducative pour atteindre d'ici cinq ans 60 pour cent de
ses revenus.
10105 Nous développerons des outils de
formation et soutiendrons l'essor de cette pratique de
participation des enfants aux médias. Nous
faciliterons la réalisation d'expériences similaires
partout au Canada.
10106 Nous établirons des ententes avec des
institutions de recherches spécialisées dans les études
des médias et les jeunes afin de bien saisir toutes les
dimensions de l'expérience et de mesurer son impact.
10107 Nous proposerons une collaboration
aux réseaux francophones d'Amérique pour des échanges
d'émissions dans la mesure où les émissions
correspondent à notre promesse de réalisation. Nous
pourrons donc ainsi entendre dans la région de la
capitale nationale les émissions produites par les
enfants de toutes les régions du Canada français.
10108 Le CRTC devra être clair dans sa
décisions à l'égard des instances gouvernementales pour
les inciter à soutenir la réalisation de ce projet
mettant en profit la participation des enfants et
adolescents à la communication par les médias,
notamment la radio.
10109 Enfin, nous souhaitons que le Conseil
s'engage dans une réflexion sur la contribution des
enfants 5-18 à la programmation canadienne et les
diverses formes de participation aux médias afin que le
droit des enfants à l'expression reconnue dans la
Charte des droits de l'enfant, signée par le Canada,
s'actualise par des formes nouvelles de participation
aux médias.
10110 Merci de votre attention tout au long
de cette audience.
10111 LA PRÉSIDENTE: Merci, Monsieur
Delorme.
10112 Monsieur Delorme, vous êtes au
courant que M. Kirk, la première requérante qui a été
entendue ce matin, a proposé une modification à son
projet "smooth jazz". Nous avons accordé à chaque
requérante la possibilité d'apporter une objection à
cette modification avant que nous l'acceptions.
10113 Nous vous demandons si vous êtes au
courant et est-ce que vous avez objection.
10114 M. DELORME: On m'a informé de cette
modification et on n'a pas d'objection.
10115 LA PRÉSIDENTE: Je vous remercie,
Monsieur Delorme.
10116 M. DELORME: Merci.
10117 LA PRÉSIDENTE: Je suppose que nous
n'avions pas de questions.
10118 Madame la Secrétaire, s'il vous
plaît.
10119 Mme POIRIER: Merci, Madame la
Présidente.
10120 We will now hear the reply presented
by 1914258 Ontario Limited, Infinity.
REPLY / RÉPLIQUE
10121 THE CHAIRPERSON: Good morning, Mr.
and Mrs. Ray, and Mr. Robson.
10122 MS RAY: Good morning, Madam Chair
and Commissioners.
10123 Madam Chair and Commissioners,
Infinity wishes to rebut certain points raised within
the context of these proceedings which, if left
unchallenged, would cast Infinity's application for
ethnic broadcasting undertaking on 89.9 FM in an unfair
light.
10124 As part of these broadcast
proceedings, considerable discussion was focused on
market demand and audiences to be served. Various
applicants claimed that their chosen programming format
represented the largest demand for service and hence
would best respond to the underserved portion of the
market.
10125 While Infinity understands our fellow
applicants' motivation, we do not agree with their
claims. Our proposal to establish the first dedicated
full-service commercial ethnic radio station on 89.9 FM
within Ottawa/Hull, far and above represents the single
largest demand for radio programming service within the
National Capital Region.
10126 Infinity, in directly responding to
this demand, will extend first-time ethnic programming
to 19 cultural communities in 20 different languages,
representing more than 400,000 unserved ethnic
Canadians within the Ottawa/Hull region.
10127 Further, with respect to the size of
the ethnic population within the Ottawa/Hull region,
Infinity would underline that two well-researched
ethnic proposals independently arrived at the same
population figures. Both Infinity and CHIN used the
same database from the 1996 census, with the only
difference being that Infinity updated its figures by
factoring in the influx of 8,000 immigrants per year to
the Ottawa/Hull region and adding them to the 1996
figure of 360,000 persons of minority ethnic origin.
10128 MR. RAY: Next, with respect to the
question of commercial viability of an ethnic station
in the Ottawa/Hull radio market, Infinity would first
point to the discussion of the CHIN-1540 Limited's
application.
10129 In response to a question as to
whether CHIN thought it possible for someone to implant
in Ottawa/Hull a station with 37 cultural groups and
20 different languages without the synergies of having
the experience in other stations elsewhere, CHIN
stated:
"I think it would be very
difficult for that type of
stand-alone operation to be
successful".
10130 CHIN went on to say that the
synergies they were able to bring to the station
reflect savings of $150,000 to $200,000 annually which
in turn would go to serving the smaller communities.
10131 Madam Chair and Commissioners,
Infinity strongly submits that CHIN's response to that
question is somewhat self-serving and not supported by
the facts. To begin with, Infinity would not be before
the Commission seeking this licence if our proposal for
Ottawa/Hull had no hope of being commercially viable as
a stand-along ethnic FM station.
10132 Secondly, Infinity's professional
market research by the highly reputable, nationally
known Bay Consulting Group, and our own in-depth on the
ground, in the community consultation process left no
doubt as to the economic viability and long-term
success of Infinity's proposed ethnic station on
89.9 FM.
10133 Thirdly, Infinity suggests that if
any broadcasting entity, faced with the unique market
opportunity of serving a captive audience of 400,000
unserved ethnic Canadians and a large, vibrant and
untapped, unserved business community cannot be viable
and ultimately extremely successful, then they should
not be in the broadcasting business.
10134 Fourth, given the above-noted factors
relative to Ottawa/Hull's ethnic marketplace
opportunity, it is simply not credible to suggest that
only a multiple station owner, with synergies to apply
can be viable and successful in Ottawa/Hull.
10135 Fifth, if Infinity, in serving
400,000 ethnic Canadians and an untapped ethnic
business community cannot be viable, then how can any
mainstream applicant proposing to target and serve a
much smaller audience demographic with a narrow
specialty format and an already well-canvassed,
well-served mainstream business community ever hope to
succeed in the Ottawa/Hull market?
10136 Sixth, somehow lost in the midst, is
the fact that Infinity's proposal has already generated
some $465,000 in unsolicited advertising commitments
from just one segment of the ethnic business community
without us lifting a finger.
10137 This clearly demonstrates the
incredible need and demand by ethnic business owners
for a cost-effective radio advertising vehicle for them
to target and serve those ethnocultural communities
that are of specific interest to them beyond their own
language groups.
10138 Finally, with respect to CHIN stating
that it would apply the $150,000 to $200,000 in annual
savings from applied synergies towards serving smaller
communities, Infinity would remind the Commission that
its revenues from the World Beat music component of its
program schedule, some $269,000 in year one alone, will
be used to subsidize the smaller communities we propose
to serve. This is totally in keeping with the
provisions of the Commission's ethnic broadcasting
policy.
10139 MS RAY: Madam Chair and
Commissioners, after hearing the CHIN and Infinity
applications in Phase I, and listening to 20
exceptional presentations from outside intervenors
supporting both applicants in Phase III, the
predominant theme and common conclusion evolving from
the process is that Ottawa/Hull badly needs a dedicated
full-service ethnic radio station to target and serve
the region's large and ever-growing multicultural
population.
10140 While the two applications have their
distinguishing differences in terms of programming
models, local ownership and board representation and
Infinity's focus on locally relevant community driven
programming versus CHIN's more regionalized approach,
both propose to serve the region's various
ethnocultural communities in 20 different languages and
both are relatively close in their revenue projections
and market expectation.
10141 In the final analysis, the
Commission's choice is between CHIN, as an experienced
long-standing ethnic broadcasting licensee, and
Infinity as an experience ethnic broadcaster seeking
its first radio licence.
10142 Much has been said by CHIN supporters
about its 35 years of experience, its track record and
its financial strength and synergies, among other
accolades.
10143 While Infinity respect the
significant contribution that CHIN's broadcast
organization has made to Canada's ethnic broadcasting
sector over the past 35 years, we take serious issue
with the notion by some that only CHIN, because of its
experience and track record, can successfully launch
and operate Ottawa/Hull's first ethnic radio station.
10144 One of the great strengths of
Canada's broadcasting sector over the years has been
its willingness to accept new participants with new
ideas, new energies and new investment dollars.
10145 If in today's environment Canada's
broadcasting industry, and in particular its much
smaller ethnic broadcasting sector, becomes a closed
shop, and experienced ethnic broadcasting entrepreneurs
like Infinity continue to have the ownership door
closed in our face, then we will never have the
opportunity to achieve a track record as owners.
10146 MR. ROBSON: Madam Chair and
Commissioners.
10147 Infinity is no less worthy of this
Ottawa/Hull ethnic broadcasting opportunity, should the
Commission decide to licence a multicultural,
multilingual radio station. We have a very strong and
credible application. We have a solid achievable
business plan, a highly processional broadcast mean,
broadly-based community support from Ottawa/Hull's
ethnocultural communities, and a firm resolve to
provide the National Capital Region's multicultural
population with the world class radio station that it
deserves.
10148 It is important to underline the fact
that Infinity's President, Neeti Ray, is not a new
player to broadcasting. Rather, he has over 21 years
of solid, diverse multilingual broadcasting experience.
10149 Neeti played a leading role in
bringing Edmonton's CKER ethnic radio station to air
and helped in the development of the station's unique
multilingual programming model.
10150 After moving to Toronto, Neeti
successfully developed Radio India which provided the
large and badly underserved South Asian community
within the Greater Toronto Region within 61.5 hours per
week of world-class programming for nearly ten years.
During this time, Radio India attracted a large
audience and generated nearly $500,000 per year in
advertising revenues.
10151 While CHIN has been portrayed by its
supporters as being innovative broadcasters, Infinity
would invite the Commission to go back to its Toronto
application for 740 AM and compare its programming
model to that of CHIN's.
10152 Essentially, what you will find is
that Infinity developed an innovative approach to
equitably allocating time to the language groups it
proposed to serve in a manner whereby even the smallest
community got nothing less than two hours of
programming time each week between the 6:00 a.m. to
midnight portion of the regulated broadcast day.
10153 By comparison, the CHIN application
at that time was still allocating 30 minutes of
programming time per week to some of the smaller
communities.
10154 Infinity has carried its same model
forward to Ottawa and upon reviewing the CHIN
application, we find that they have also adopted as
similar approach to allocating programming time on a
more equitable basis to the smaller language groups.
10155 We also took note of the announcement
yesterday by one of CHIN's supporter that they agreed
to incorporate Mandarin programming into their Ottawa
schedule.
10156 By way of interest, we would note
that Infinity, upon consultation with the Ottawa/Hull
Chinese community several months ago, incorporated both
Mandarin and Cantonese programming into its
broadcasting schedule from the very outset.
10157 It is also important to stress the
point that the Commission's licensing of Infinity for
Ottawa-Hull takes nothing away from the Canadian
Broadcasting system. In actual fact, the licensing of
Infinity will add an entire new universe of Ethnic
programming diversity and listener choice for the
benefit of Ottawa-Hull's multicultural population and a
new element of diversity amongst the ownership ranks of
the Canadian broadcasting system.
10158 MR. RAY: Madam Chair and
Commissioners, I would have to add that the $465,000 in
unsolicited pre-bookings by the Ethnic business
community and the 1,818 letters of support filed with
the Commission are more than indicative of the
acceptance and demand for infinity's proposed Ethnic
undertaking on 89.9 FM and the local programming model
that we will implement.
10159 Infinity agreed with Newcap's view
that there is a need for small, medium, and large
players within Canada's broadcasting system.
10160 Within Ottawa-Hull, it is our view
that Infinity, as an independent applicant, will best
serve the needs of the Region's large, growing and
unserved multicultural population.
10161 Infinity's majority owners are
professional, visible minority career broadcasters who
have spent half a lifetime to become a permanent part
of the Canadian broadcasting system. We are dedicated
to multiculturalism and its advancement. We are
committed to making a difference within Canada's
broadcasting system, and we are here for the long term.
10162 Madam Chair and Commissioners, it is
for all of the above reasons and many unspoken reasons
in the fullness of our application, that Infinity
should be viewed as the applicant who will best
optimise the utilization of the 89.9 FM frequency and
use it to the greatest advantage and benefit of
Ottawa-Hull's diverse multicultural population and the
Canadian broadcasting system.
10163 MR. ROBSON: Madam Chair, we would
simply add that Infinity has no objection to the
changes made relative to the Kirk application.
10164 THE CHAIRPERSON: Thank you, Mr.
Robson. Thank you, Mr. and Mrs. Ray. Thank you for
your reply this morning. Madame la secrétaire, s'il
vous plaît.
10165 Mme POIRIER: Merci, madame la
présidente. We will now hear the reply from Radio 1540
Limited.
RÉPLIQUE / REPLY
10166 MR. LOMBARDI: Good morning, madam
Chair, Commissioners.
10167 THE CHAIRPERSON: Good morning,
Mr. Lombardi and your colleagues.
10168 MR. LOMBARDI: My name is Lenny
Lombardi and I am president of CHIN Radio 1540 Limited.
With me are Bob Culliton, our vice-president Finance
and general manager of CHIN, Angelina Cacciato, our
committee advisor and member of our Advisory Board and
Mr. John Hylton, our legal counsel for this
application.
10169 When we appeared to present our
application, Commissioner Pennefather asked us to
respond in writing to some of the questions with
respect to our Canadian talent development initiatives.
We will have filed those responses with the hearing
secretary at the conclusion of the hearing today.
10170 In our reply, we will address four
major issues raised by the interveners. The need for
an ethnic radio station, the importance of local
programming, the importance of ethnic programming, and
the most effective and efficient use of available radio
frequencies.
10171 Many interveners have spoken very
eloquently about the urgent need for an ethnic radio
station and, obviously, we agree with that. There was
a large diverse and rapidly growing ethnic population
here in the National Capital Region. That population
has needs which can only be met by a local ethnic radio
station.
10172 We specifically asked our researchers
to measure the demand for an ethnic radio station among
ethnic listeners. An overwhelming 72 per cent of all
ethnic respondents said that they would listen to a
radio station that we are proposing to establish.
10173 Many interveners spoke of the
important role that local programming could play in
reflecting and meeting the needs of local ethnic
communities. They spoke of their pride in their
communities and they expressed their strong belief that
the life of those communities should be reflected on
the airwaves and we agree.
10174 Interveners who supported our
application strongly endorsed our local and regional
programming proposals. Every hour of programming that
we provide will reflect and serve local ethnic
communities.
10175 Regional programming will be jointly
produced by our proposed new radio station here in
Ottawa-Hull and our established radio stations in
Toronto. It will provide a unique opportunity for the
members of the ethnic communities here and in Toronto
to work together to create programming that addresses
shared issues and interests.
10176 This enhanced level of programming in
community service is a unique feature of our
application, which is only possible because we are an
established ethnic radio broadcasting company.
10177 Many interveners have described for
you how important it is for them and their communities
to have access to local ethnic radio programming in
their mother tongue or heritage language. We agree
with those interveners. Ethnic programming should be
the priority for a new ethnic radio station because
that is the programming that is in most demand in this
market among ethnic audiences and because that would be
the best way to serve the objectives of the ethnic
broadcasting policy.
10178 Both applicants for an ethnic radio
station filed public opinion research. That research
clearly shows that the greatest demand among members of
the ethnic community is for news and information in
their mother tongue or heritage language.
10179 None ethnic programming such as World
Beat Music is at best a second priority. We will
directly respond to the greatest needs in this market
by devoting 98 per cent of our programming schedule to
ethnic programming.
10180 In its intervention, Infinity
suggested that the Commission should award a licence to
an applicant who will make the best use of the
frequency. The Commission clearly set out how it would
define the best use of a frequency by an ethnic radio
station in the ethnic broadcasting policy.
10181 The Commission stated that a balance
may be struck between the two priorities, serving as
many groups as practical and providing high quality
programming to those groups that are served.
10182 Further, the Commission stated that
it would weigh the ability of ethnic stations to
provide appropriate amounts of quality programming to
these groups.
10183 We can provide 123 and a half hours
of the highest quality ethnic programming each week and
serve the greatest number of ethnic cultural groups
here in the NCR because we are an established ethnic
radio broadcasting company with access to significant
synergies and operating efficiencies.
10184 Some interveners such as the Caisse
populaire Orléans have urged the Commission not to
grant any licences at this time. We acknowledge that
the Commission must address a wide variety of needs in
its licensing decision.
10185 It has been suggested that at least
four FM frequencies are available: 88.5, 89.9, 95.7 and
97.9. We chose frequency 97.9 because at 800 watts it
will provide satisfactory coverage to the ethnic
communities we wish to serve. We believe that this has
two significant advantages.
10186 First, the approval of our
application would not preclude the Commission from
addressing other needs on the other three frequencies
that are available as part of this or a subsequent
proceeding.
10187 Second, 97.9 offers us the technical
flexibility to meet evolving needs. For example, we
can transmit at a higher power on this frequency if it
is necessary to expand our coverage area to reach a
growing ethnic population.
10188 The CBC has advised us in writing
that they would be prepared to accommodate the
interference that might result from such a power
increase, subject, of course, to Industry Canada
certification.
10189 Our engineering analysis determined
that 97.9 would be the frequency most suited to our
needs. However, if the Commission decides to grant
that frequency to another applicant, we would be
prepared to use a different frequency, provided that it
gives us similar coverage in a comparatively cost
effective manner.
10190 This would allow the Commission in
its judgment to make the most efficient and effective
use of the available frequencies.
10191 And finally, I would like to respond
to a question that was put to an intervener yesterday
by Commissioner Cordozo and that question was: why
hasn't there been an ethnic licence for the Ottawa-Hull
area up until now. And, although I can't speak for
others here, but I would like to give you CHIN's
perspective which I believe is quite unique.
10192 And to begin with, I would like to
say that I am now CHIN radio's president, I have been
for a couple of years and this certainly was with my
father's blessing and my sisters Teresa and Danina
share the view that the future for CHIN radio is to
expand into new markets and to put to good use the
developed 35 years of broadcasting experience that we
have accumulated and put it to good use to establish
new services.
10193 I think our experience in the Toronto
area on some Toronto applications has shown us clearly
that there are distinct advantages and synergies and
opportunities that we can bring to new services and
getting them established.
10194 And a word about my sisters. Teresa
Lombardi is the vice president of Administration, has
worked for the organization for over 30 years. She is
also the producer of all of our special events in
Toronto, such as the CHIN International picnic, our
South Asian festival, our Chinese Festival, our Polish
Day and countless others, so she is integrally involved
in the ethnic communities and broadcasting on both
levels.
10195 My sister Danina is vice president of
the public relations and she is also a regular
broadcaster on CHIN, hosting a regular radio program as
well as hosting our television program on CITY-TV each
week, so she has a very extensive knowledge of
broadcasting, both behind the microphone and camera and
in front of it.
10196 And, of course, me, I have
practically done every job at that radio station at one
time or another, from audio engineer to copyrighter.
And now, I have worked my way up to the presidency.
10197 We see that the future and growth for
CHIN radio is in the development of our brand of ethnic
broadcasting that we want to take forward and in this
market Ottawa is the Ottawa area that we want to grow
in.
10198 And as the Commission knows and
others here in the Ottawa-Hull area recognizes that
there has been tremendous growth in the ethnic
community here and we have seen that to our
consultations with ethnic community leaders here in
Ottawa as well as our research and that we see that the
community has grown in leaps and bounds and now
represents over one third of the population of
Ottawa-Hull.
10199 And certainly other synergies that
have brought us to this conclusion for an application
of Ottawa-Hull is our relationship with the CHUM group
and the technical synergies that they offer us. I know
they are prepared to lease us fully equipped single use
radio and studio facilities that are ready to go for
us.
10200 And they also offer us technical and
engineering support and also very interesting is an
opportunity to produce ethnic television programs on
the new RO, and that was another compelling reason why
we wanted to apply for our licence here in Ottawa.
10201 And finally, Ottawa is close, it is
friendly and it is very familiar to CHIN radio. In
fact, we have been broadcasting into this region and
area for many years to our Cable FM service via
satellite as well as our television programs on CITY-TV
and before that, on Global.
10202 We have had a long standing
relationship with the Ottawa ethnic communities as was
evident by our many interveners yesterday who spoke of
our presence and the usefulness that we have provided
to many of those communities.
10203 And so I just wanted to highlight
those reasons why CHIN radio has decided and has looked
at Ottawa as an opportunity for an ethnic application.
10204 So, in conclusion, over 3,000
individuals and organizations filed interventions in
support of the licensing of an ethnic radio station
here in the Nation's Capital. If our application is
approved, we pledge to work with everyone in the many
ethnic communities who have expressed an interest in
the establishment of a local ethnic radio station.
10205 Our commitment is to provide an
inclusive ethnic radio service that directly reflects
and meets the needs of the many different ethnic
communities here and in Ottawa-Hull.
10206 I wish you well in your deliberations
and we look forward to your decision and we, of course,
would be prepared to answer any questions you may have.
10207 THE CHAIRPERSON: After all these
positive statements, do we take it that you have no
objection to Mr. Kirk's request for amendment?
10208 MR. LOMBARDI: Madam Commissioner,
that is correct, we have no objections.
10209 THE CHAIRPERSON: We have no
question. We thank you very much for your
participation in Phase IV.
10210 MR. LOMBARDI: Thank you.
10211 THE CHAIRPERSON: Madam secretary,
please. Madame la secrétaire, s'il vous plaît.
10212 Mme POIRIER: Merci, madame la
présidente. Nous allons maintenant entendre la
réplique présentée par 9098-7280 Québec Inc., Radio
Nord.
RÉPLIQUE / REPLY
10213 LA PRÉSIDENTE: Bonjour, monsieur
Brosseau, monsieur Labarre et maître Côté. Procédez
quand vous êtes prêts.
10214 M. BROSSEAU: Bonjour, madame la
présidente et messieurs les conseillers et membres du
Conseil. Mon nom est Pierre Brosseau. Je suis
président et chef de la direction de Radio Nord
Communications. A ma droite, maître Francine Côté,
conseiller juridique, et à ma gauche, monsieur Pierre
Labarre, ingénieur.
10215 Notre réplique à l'issue de ce long
processus sera brève puisque nous n'avons reçu aucune
intervention s'opposant spécifiquement à notre demande,
si ce n'est celle de la Société Radio-Canada qui n'a
cependant pas comparu. Au cours de l'examen de la
première Phase, nous avons eu l'occasion de répondre à
diverses questions relatives à la situation
concurrentielle de la SRC, si la licence de radio
classique nous était accordée.
10216 Nous n'avons pas l'intention de
reprendre ici les arguments soulevés par la SRC dans
son intervention écrite, à moins que le Conseil ne
veuille éclaircir d'autres questions.
10217 Nous aimerions, par ailleurs,
répondre positivement à l'intervention de l'ADISQ qui
suggère que Radio Nord Communications fasse une
contribution à Musicaction, suggestion que nous sommes
heureux d'accepter. Si la licence demandée nous est
accordée, nous verserons un montant additionnel de
2 000 $ par année à Musicaction, en plus des montants
et engagements auxquels nous avons souscrit dans notre
demande et auxquels nous avons acquiescé dans la
première Phase, à savoir augmenter notre contenu
canadien de 10 à 15 pour cent au cours de la troisième
année de la licence, si telle est la volonté du
Conseil.
10218 Le Conseil nous a demandé de vérifier
si l'utilisation de la fréquence 97,9 MHz proposée dans
notre demande est optimale, compte tenu que certaines
populations au nord de Hull, entre autres, à
St-Pierre-de-Wakefield, ne pourraient pas recevoir
notre signal. Nous avons demandé à notre ingénieur qui
nous accompagne aujourd'hui, monsieur Pierre Labarre,
de procéder à certaines vérifications, notamment le
déménagement du site d'antenne proposé à Camp Fortune
sur la tour de la SRC.
10219 Il appert que le choix du site
d'antenne de la Société à Camp Fortune est une solution
qui permettrait de mieux couvrir le secteur nord de
Hull, mais ne résoud pas complètement le problème, en
plus d'être plus coûteuse. Ironiquement, la
municipalité de Wakefield ne serait pas mieux couverte
par ce changement, bien au contraire.
10220 Toutefois, la municipalité de
St-Pierre-de-Wakefield, cachée dans une vallée qui
cause des problèmes topographiques, serait, elle,
incluse dans le nouveau contour, mais avec un signal
légèrement inférieur à la valeur réglementaire de 500
uVm.
10221 Par ailleurs, l'établissement de
notre site à Camp Fortune, plutôt que celui proposé à
Place Vincent Massey, aurait aussi pour effet de
réduire la puissance de notre signal à Hull et à
Gatineau, et ce, de l'ordre de 15 à 20 décibels La
solution pour servir la population de
St-Pierre-de-Wakefield serait d'installer un
réémetteur, si le Conseil l'estime nécessaire.
10222 L'utilisation de la fréquence 97,9,
telle que proposée par notre consultant, monsieur
Labarre, est donc optimale, compte tenu de notre marché
cible et de la qualité du signal essentielle pour le
succès d'une station de musique classique. De plus,
elle est conforme à toutes les règles de Industrie
Canada.
10223 Un deuxième choix serait la fréquence
95,7 allotie à Gatineau qui offre, cependant, des
paramètres moindres pour couvrir adéquatement notre
marché cible de Hull-Ottawa et qui aurait un léger
impact négatif sur notre plan d'affaires. Les autres
fréquences, quant à elles, ne sont pas des solutions
viables pour notre demande.
10224 En terminant, nous désirons rappeler
que notre demande répond aux critères du Conseil et aux
objectifs du système de radiodiffusion canadien et ce,
pour les raisons suivantes:
10225 Notre demande permet d'élargir la
gamme de choix offerts aux francophones dans le marché
de Hull-Ottawa mieux que toute autre demande de langue
française proposée dans cette audition.
10226 Elle constitue une vitrine
additionnelle pour les artistes et artisans de la
musique classique qui ne comptent que deux stations de
radio classique au Canada pour diffuser leur musique.
10227 Elle offre également une contrepartie
de choix aux services commerciaux de radio qui
appartiennent à Télémédia et Astral Média. Ces
stations, rappelons-le, font l'objet d'une transaction
qui sera présentée au Conseil pour approbation. La
présence de Radio Nord Communications dans ce marché
apporterait un meilleur équilibre au niveau de la
propriété et de la programmation par la diversité
qu'une station de formule spécialisée comme Radio
Classique garantit.
10228 De plus, Radio Nord Communications
est un requérant qualifié pour desservir le marché
radiophonique de Hull-Ottawa par son expertise en radio
et sa connaissance du marché où elle exploite déjà des
stations de télévision.
10229 L'obtention de cette licence est une
étape importante pour la croissance de notre entreprise
qui désire jouer un rôle accru dans le système de
radiodiffusion et cela, au moment même où la
convergence incite d'autres joueurs, de petite et
moyenne taille, à se départir de leurs entreprises au
profit d'entreprises mieux consolidées.
10230 Quant à la question des amendements
apportés à la demande de monsieur Kirk au plan de la
formule de programmation et au plan technique, nous
avons des commentaires à faire uniquement quant au
changement de fréquence.
10231 Monsieur Kirk désire utiliser la même
fréquence que Radio Nord Communications, intention
qu'il a fait connaître le 16 mai dernier. Nous pensons
que, compte tenu de l'heure tardive des amendements
requis par monsieur Kirk, si le Conseil en venait à la
conclusion que monsieur Kirk et Radio Nord
Communications méritent respectivement une licence,
l'arbitrage devrait accorder la priorité à Radio Nord
Communications puisque la fréquence 97,9 est notre
premier choix. Monsieur Kirk pourrait alors être
invité à utiliser une autre fréquence, sous réserve
d'obtenir la certification technique d'Industrie
Canada.
10232 Madame la président, mesdames et
messieurs les conseillers, nous sommes convaincus que
l'approbation de notre demande favorise l'intérêt
public et nous remercions le Conseil de l'attention
portée à notre demande ainsi que tous ceux qui ont
participé à son examen.
10233 LA PRÉSIDENTE: Merci, monsieur
Brosseau. Est-ce que vous avez des commentaires à
faire au sujet de la demande de modification en ce qui
concerne le format de la demande de monsieur Kirk?
10234 M. BROSSEAU: Non, madame la
présidente.
10235 LA PRÉSIDENTE: Merci. Je crois que
madame Noël a une question.
10236 CONSEILLÈRE NOËL: En fait, je pense
qu'on a répondu parce qu'au moment de la première
Phase, il y avait une série de questions. J'ai la
transcription des notes ici, il y a une série de
questions auxquelles on n'avait pas répondu. S'il y
avait un autre choix de fréquence, si je comprends
bien, votre seul autre choix serait 95,7?
10237 M. BROSSEAU: C'est juste.
10238 CONSEILLÈRE NOËL: Il n'y aurait pas
d'autres fréquences qui pourraient desservir
adéquatement le marché que vous voulez couvrir?
10239 M. BROSSEAU: C'est ma compréhension.
Monsieur Labarre pourrait peut-être nous donner plus de
spécifications.
10240 M. LABARRE: Je ne pense pas qu'on
veuille à cette heure si tardive élaborer tous les
détails, mais pour ce qui est de la fréquence de 89.9,
on se doit d'utiliser l'antenne de Global pour
rencontrer les normes et si on le fait, il y a un
minimum de l'antenne de Global en direction de Hull et
de Gatineau, ce qui n'est pas la meilleure chose pour
quelqu'un dont c'est le marché primaire.
10241 Pour ce qui est de 259, 99,7, on sait
que celle-là n'est pas attrayante et pour --
10242 CONSEILLÈRE NOËL: Est-ce que vous
pourriez élaborer là-dessus? C'est là où je vous ai
amené, 99,7. C'est celle qu'avait d'abord demandée
monsieur Kirk avant son changement.
10243 M. LABARRE: C'est exact. Celle-là
implique -- l'occupation est un canal qui se trouve en
troisième adjacence avec deux canaux déjà à
Ottawa-Hull. Le Ministère est en train de procéder à
des essais et je fais partie du groupe de travail de
cela. Et pour déterminer la sélectivité --
l'amélioration de la sélectivité des récepteurs à
pouvoir dans un champs élevé de troisième adjacence,
soutirer le canal désiré et ne pas être brouillé par la
troisième adjacence.
10244 Ces résultats ne sont pas encore
complétés et les règles n'ont pas été refaites.
10245 Le deuxième point qui est embêtant
dans le cas d'Ottawa, c'est que les deux stations ne
sont pas au même endroit. Or, d'emblée, probablement
qu'une troisième adjacence va être acceptée ou
acceptable quand les sites sont au même endroit et dans
le cas d'Ottawa, on ne peut pas être au même endroit à
deux places. Alors, ça rend le cas difficile et ça ne
me surprend pas qu'il y ait eu un changement.
10246 CONSEILLÈRE NOËL: Je vous remercie,
monsieur Labarre.
10247 LA PRÉSIDENTE: Merci, monsieur
Brosseau et vos collègues. Madame la secrétaire, s'il
vous plaît.
10248 Mme POIRIER: Merci, madame la
présidente. We will finally hear the reply by Standard
Radio Incorporated.
RÉPLIQUE / REPLY
10249 THE CHAIRPERSON: Good morning, Mr.
Slaight, madame Lafontaine et monsieur Stafford.
10250 MR. SLAIGHT: Good morning, madam
Chair and members of the Commission. I am Gary
Slaight, president and CEO of Standard Radio.
10251 On my right is Eric Stafford, the
General Manager of "The Bear" here in Ottawa. On my
left is Monique Lafontaine, our regulatory counsel from
McCarthy Tetrault.
10252 We will start by commenting on Mr.
Kirk's letter amending his application so as to be a
Specialty station. We are not here to object to his
amendment because it simply recognizes that Smooth Jazz
is in category 34. We find it incredible, however,
that it took Mr. Kirk three hearings over the last year
to understand what we thought the Commission had made
perfectly clear in Public Notice 2000-14.
10253 There are three points that were
raised against our application to which we wish to
reply. The first is the suggestion by Newcap at
paragraph 4637 of the transcript that the smooth jazz
format only gets an average share of 2.5 in the United
States, and that this shows the smooth jazz format will
not be viable in Ottawa. The second is the suggestion
by Mr. Kirk that the ratings of the Hamilton station
show that our ratings and revenue projections are too
high in Ottawa. The third is his suggestion that there
are not enough Canadian jazz recording to warrant at 35
per cent level.
10254 Let's start with the U.S. situation.
The U.S Arbitron ratings for smooth jazz stations,
along with other stations in different formats, are
published regularly in Radio & Records Magazine. We
have appended the numbers for smooth jazz stations in
the top 15 markets in the United States to the notes
for our oral presentation, and you will see that these
numbers are all higher than 2.5. In fact, the average
share is 4.
10255 We have also attached some recent
statistics prepared by Kevin Cassidy of Broadcast
Architecture, a consulting firm that specializes in the
smooth jazz format in the United States. As you will
see from the statistics, there are nearly 100 stations
across the U.S. using the smooth jazz format and this
is growing. Share trends for smooth jazz have grown
tremendously in the last few years, at a time when
other formats are in decline.
10256 The U.S. numbers are also interesting
because they substantially underestimate the share that
this format can reach in Canada. The reason for this
is simple.
10257 A typical U.S. market has far more
radio stations per capita than is the case in Canada.
As you can see from the statistics and as we note in
our supplementary brief, U.S. markets often have 30 to
40 radio stations competing in a market, smooth jazz is
typically ranked in the top 10 in ratings and in the
top 5 in revenue.
10258 Ottawa does not have 30 or 40
commecial radio stations. It has less than 10 stations
on the English side. So a share in the United States
of 4 per cent of the radio audience could easily
translate to a 5 or 6 share up in Canada, simply
because there are fewer stations up here to divide up
the audience. Based on the Ipsos Reid research filed
with our application, we projet a 5.2 share of the 12+
audience for the stations in the market. With this
share, our revenue projections are easily attainable.
So, that's our first point.
10259 The second relates to the Hamilton
experience, and Mr. Kirk's assertion that our research
on demand was too optimistic.
10260 I want to start by noting that this
criticism comes from an applicant that did absolutely
no demand study in Ottawa. He has simply assumed that
Ottawa is the same as Hamilton, and therefore the
ratings would be at the same low level as they are for
his station in Hamilton.
10261 We recognize that Mr. Kirk's new
station in Hamilton has had disappointing BBM ratings.
But we do not think that this translates into problems
in Ottawa. There are three reasons:
10262 First, the lesson from the U.S. is
that this format is not a cookie-cutter approach. To
be successful, it has to be custom-designed for each
market. That was a point made by Mr. Cassidy when he
appeared with us at the Vancouver hearings. We do not
think that Mr. Kirk did the homework necessary to
understand the format and apply it correctly. The
letter that Mr. Kirk filed on Monday morning, whether
you accept his amendment or not, confirms that he has
been confused about the format from the start. We have
never been confused. However, Mr. Kirk's evident
confusion with the format may have contributed to his
low numbers in Hamilton.
10263 Second, the launch of any new station
requires a major infusion of marketing money to bring
the new frequency to people's attention. We have
purposely included substantial marketing dollars in our
own budget for Ottawa. But we saw little evidence that
Mr. Kirk spent any real marketing money in Hamilton.
10264 Third, and finally, it is important
to note that Ottawa is much different from Hamilton.
Hamilton is a blue-collar market, compared with Ottawa
which has a more educated, upscale demographic.
10265 Let me explain why smooth jazz will
do particularly well here in Ottawa.
10266 First, we have done a demand study,
and we did it the right way, by playing excerpts from
the proposed music for 700 respondents in Ottawa and
getting their reaction not to the name of the format
but to the actual music. The response was huge for
both smooth and traditional jazz. The research also
showed that this is a format that appeals to a more
educated professional upscale audience, an audience
that is hard for advertisers to reach.
10267 This is also evident from the level
of record sales. We have appended a report on album
sales in record stores across Canada since the
beginning of the year. Ottawa is the fourth largest
market in Canada in terms of sales of jazz albums.
Ottawa accounts for 5.39 per cent of overall record
sales in Canada but 7.25 per cent of sales of jazz
albums.
10268 Hamilton, by contrast, accounts for
2.45 per cent of overall record sales but only 1.54 per
cent of sales of jazz albums. In other words, based on
record sales, Ottawa has far more interest in jazz than
Hamilton in proportion to its population.
10269 Third, we know that this is the right
format because this music is simply not being played on
local radio and yet it sells well. Very little
Canadian jazz is heard on local radio stations, and
none of the records on the smooth jazz charts are
getting regular airplay. By contrast, half of the
records played on KOOL-FM last week were form the
Urban/Dance charts. So, we think that in terms of
diversity, the smooth jazz format is by far the best
choice.
10270 Fourth, this is a format that has
support from the local community, in terms of artists,
festivals, community groups and events. The jazz scene
here is vibrant, and that is why Ottawa is particularly
appropriate for and in need of a smooth jazz station.
10271 Finally, we want to reply to Mr.
Kirk's suggestion that there are not enough Canadian
records in the format to justify a 35 per cent Canadian
content level. We disagree. But a key factor in this
is the fact that unlike Mr. Kirk we intend to play
traditional jazz as well as smooth jazz. Our studies
show that there is demand for this as well in the
Ottawa market and a station that covers the whole jazz
area will be very successful. There is a place for
Oscar Peterson on our radio station.
10272 At 35 per cent for Category 3 music,
instead of ten per cent our application exceeds the
regulatory Canadian content minimum by a full 25 per
cent, more than any other applicant before you.
10273 So, those are the points I wanted to
make in reply to the question of the viability of a
smooth jazz station in Ottawa.
10274 Before concluding, I want to thank
each of the interveners that wrote letters or appeared
to support our application. I want to single out two
of them for comment in reply.
10275 The first is Dr. Bryan Gillingham,
Director of the School for Studies in Art & Culture at
Carleton University, who you heard from last evening.
I want to confirm that should we be licensed, and
should the Commission disallow one or more of our CTD
initiatives, we will earmark $75,000 of that money to
go to Carleton University to implement Dr. Gillingham's
proposal.
10276 The second intervention to which I
want to refer to is that of the National Arts Centre.
Although the NAC was unable to appear, I want to quote
briefly from its letter of intervention:
10277 The NAC notes -- that the level of
support and the extent of Standard's involvement in the
"Jazz at the Fourth Stage" initiative -- at $100,000 a
year for seven years -- is unmatched in this
proceeding. This jazz music CTD initiative, developed
by Standard and the NSC, will be a wonderful addition
to the National Capital Region's cultural landscape.
Both of its components, that is the annual jazz concert
series (12 jazz concerts per years), and the master
class program, will provide significant support to new,
emerging and existing Canadian jazz artists, as well as
to our Canadian jazz artists of the future.
10278 We very much look forward to working
with Standard on the "Jazz at the Fourth Stage"
initiative should the Commission approve its proposal
for a new smooth jazz radio station for Ottawa-Hull."
10279 We were delighted to be able to work
with the NAC to help develop this exciting initiative.
We look forward to working with their team if we are
privileged to get the licence.
10280 Thank you, madam Chair and members of
the Commission. We would like to thank the Commission
and its staff for conducting a full and fair hearing.
We wish you well in your deliberations and we wish
everyone a safe trip home.
10281 That concludes our replies.
10282 THE CHAIRPERSON: No wish for my
garden?
10283 Mr. SLAIGHT: I hope you don't have
to go for the plastic flowers and especially I hope you
don't have to go to plastic squirrels.
10284 THE CHAIRPERSON: They would be
welcome if they were plastic. You do not know what
Ottawa has to suffer with the squirrels. I do not
think we have any questions. We thank you, Mr.
Slaight.
10285 We will take a ten minute break and
come back with a decision on Mr. Kirk's proposal for
amendment and to conclude the hearing. So, in ten
minutes we will back.
10286 Nous serons de retour dans dix
minutes.
--- Upon recessing at 1110 / Suspension à 1110
--- Upon resuming at 1138 / Reprise à 1138
10287 THE CHAIRPERSON: Thank you. In
light of the fact that, one, the request by the
applicant Doug Kirk to amend his application does not
constitute a change to the substance of his
application, but rather a more accurate reflexion of
it, from a regulatory perspective and two, that no
competing applicant has expressed an objection to the
request, the panel has decided to accept the amendment
as proposed.
10288 Puisque, premièrement, la requête du
requérant Douglas Kirk en vue de modifier sa demande ne
constitue pas un changement de fond au projet proposé,
mais plutôt une représentation adéquate des exigences
réglementaires et, deuxièmement, qu'aucune requérante
n'a exprimé d'objection à cette requête, le Comité
d'audition a décidé d'accepter la modification telle
que proposée.
10289 Madame la secrétaire, s'il vous
plaît.
10290 Mme POIRIER: Merci, madame la
présidente. J'aimerais seulement mentionner que cette
audience contient également cinq demandes non
comparantes, et que bien que celles-ci ne fassent pas
l'objet d'une présentation orale, les demandes n'en
font pas moins partie de l'audience et, à ce titre,
elles seront étudiées par le Conseil et une décision
sera rendue plus tard.
10291 I would just like to point out that
this hearing also includes five non appearing
applications and that even though there is no oral
presentation for these applications, they are
nevertheless part of this public hearing and, as such,
they will be considered by the Commission and a
decision will be rendered at a later date. Thank you,
madam Chair.
10292 LA PRÉSIDENTE: Merci, madame la
secrétaire. Et voilà la fin de notre audience.
10293 Mes collègues se joignent à moi pour
remercier les requérantes et tous les intervenants pour
leur collaboration et leur apport précieux à notre
processus public.
10294 Nous rappelons aussi à ceux et celles
qui ont déposé une intervention écrite que cette
intervention fait partie du dossier public.
10295 Je remercie mes collègues de m'avoir
bien épaulée au cours de l'audience. Je remercie aussi
le personnel, les interprètes et les sténographes de
qui nous nous sommes attendu à beaucoup, surtout hier,
et nous avons, évidemment, maintenant du pain sur la
planche.
10296 This signals the end of our hearing.
My colleagues and I thank the applicants and the
interveners for their cooperation and their important
participation in our public proceeding.
10297 We also remind all those who filed a
written intervention that their intervention forms part
of the public record.
10298 I thank my colleagues for their help
and support throughout the hearing. Our thanks also go
to the personnel, to the interpreters and to the Court
stenographers of whom we expected a lot, yesterday
especially. And we evidently have lots of work to do.
10299 Again, I thank everyone and wish you
a safe trip home.
10300 Alors, nous vous remercions et un bon
retour à la maison.
--- Whereupon the hearing concluded at 1142 / L'audience est levée à 1142
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